One of the EEFs External to the organization is Market Place Conditions and an example of that is Competitors as it written in PMBOK Guide. What effects can competition have on an Organization or new Projects? What if the project was thought to be unique but then Competitors found to give similar products? What are the Positive or negative effects ?
In my opinion having Competitors can be positive or negative affects that depends on the organization view for them, and how to work with this changes. If competitors exists that mean there is a good market for sealing the product or service for customers, which will save time to start more developing and research to give the right product for customers need. In addition, we need to now what significant about the competitors products and how to be better than them in different ways, we can start by being a customers our selves to see how they wok with customers, how they close the deals, what type of offers they give, what service they provide, and importantly is to get the know the product and test to see the user interaction. learning from competitors experience can make us made a more valuable product.
For the most part all the positives were correctly discussed, however some negatives are that the competition may have more resources to do research and development and be able to sell and produce a product more efficiently, and if you didn't make a big enough impact or cannot keep up with the competition the product along with the company will be left behind. The iPhone is a great example, many great cellphone companies were around before the iPhone but most were not able to keep up.
To know market place condition is very important as it will help us know about Characteristic of a market into which a firm is entering or into which a new product will be introduced, such as number of the competitors, level or intensity of competitiveness, and the market's growth rate.
This will help us analyze our product and to know it strength and weakness .And help us make changes according to make our product successful
For any market, competition is important because it ensures monopolies don't form. If there is competition within a market, that means each company will be working to best the other ones, which drives innovation, product development, and overall progress in that particular field. If a monopoly exists within a certain field, that company most likely has a ton of patents and owns a number of product designs, which means no other company can design anything similar to theirs. Therefore, they can move at whatever pace they want when it comes to releasing new products, which isn't what's best for the customers. Customers want newer, better options all the time, so if a market exists in which multiple companies are competing with each other to get the customers their new products, then new and improved products will constantly be getting released to the market.
From an internal perspective, I think it also important to have competitors for similar reasons I stated above. A company with competitors will always want to recruit the best talent and continue to grow to support multiple innovative projects at once, while also allocating resources to look into revolutionary technology that will separate them from their competitors. This keeps people hungry and motivated to succeed and grow in their careers.
Since a company has limited resources and time to invest, its goal is to assess which projects have the potential to yield a maximal return on investment by taking factors such as competition into consideration. Therefore, in terms of the uniqueness of a project, this should be researched and determined during the creation of the proposal and not come as a surprise during the development of the project. As for competition itself, it can be regarded as having both positive and negative effects in relation to a project. For starters, I would agree with a prior post that the presence of competitors can be a good indication that there exists a market for the end deliverable of the project. Furthermore, it can help establish for the team a baseline on how to develop a product that innovates or varies from that which is offered by competitors. In terms of a business standpoint, the development of such projects may also be more feasible to complete and market in comparison to the development of products with greater novelty. As for negatives, I believe competition will require greater convincing to management that the proposed project will result in a deliverable that will be distinguishable and desirable to that what is currently on the market. For those with experience in industry, have you ever experienced a situation in which a project originally thought to be unique turned out to have similar competitors during the development of the project?
Understanding the current market (if there is one) for a product is a vital step in the creation of a new project or device. To answer the original question, there are both pros and cons to having competitors within a market. In terms of pros, competitors could already have devices which would outline a potential method of creation that could be used. For example, the FDA approval process would be much easier with an already existing, FDA approved device by the competitor. It also allows for the device or project to be made in such a way that combats an issue with the competitor’s device. If the competitor’s device is lacking in certain aspects, the new device could try to overcome those lacking features. On the other hand, since there is already a market, there is already competition. This could mean fewer sales and thus, less profit. Certain markets could be so oversaturated as well where there is no point in starting a project or device.
The marketplace condition is typically considered in the beginning phases of a project. I remember for my senior capstone project, we were required to do market research early in the course. Our professor urged the creation of a novel device, or if necessary, a device which is different in some way than already existing devices. This is a practical request since, if a new device is not unique in a real-world setting, a company would most likely not pursue the project. All in all, an existing marketplace could have many benefits, as well as hardships, when it comes to starting new projects or creating new devices.
