Competition

Competition is the rivalry among the players of the market to overcome the other player. In other words one seller tries to go ahead of the other seller who may be a threat to his business. In a market of chocolates the competition is very high as there are n number of producers providing variety of taste and choices to a customer. kit kat has created place for itself in the market by providing quality chocolate in a good price range. 

There are two types of competitors :

    Direct competitors :

            These are the competitors who produce the same type of goods as their rivals and try to compete with them on the basis of price, quality, availability etc. which may affect the choice of the consumer. direct competitors of kit kat would be perk, munch.

    Indirect competitors:

                  These are the competitors who offer those goods and services to customers that can be used as a substitute thus cutting down the sales of other products.for a product like kit kat its indirect competitors will be dairy milk etc. as they satisfy the same needs of the consumers but the category of the product is not same.

Key Points :

• competitors compete on the basis of what customers want.
• competition can come from other categories depending on consumers choice.
• competition is somewhere linked to the minds of the customers.
• choices give rise to competing offers.
• potential threat from a new entrant.