Every business has their competitors and often times, the competitor may reach levels of fierceness and intensity. Sometimes though, it may be beneficial to work with businesses that you may consider your competitors. Understand that this is not always applicable for every business, and it is up to the business owner to make the personal choice as to whether to affiliate with a competitor or not.
#1: A Competitor Can Help Direct Prospective Customers To You If Their Demand Is Too Great
Competition usually involves the business’s attempt to get as many customers on board as possible. However, small businesses tend to carry a different approach as they can only handle so many customers. Often times, small businesses may refer these customers to similar businesses. It might be in your best interest to align your business with a competitor as your business may end up with the leftover customers. Of course, you have to invest the time to interact with the competitor and work in collaboration with each other. You will also have to suck up your pride and accept that your business may not win over your competitor.
An important note here is that this point will not apply if your business goal is to be the best or among the best in your business type as aligning with your competitor will not be of any help here. Similarly, a competitor who wants his or her business to be the best will likely not align with your business.
#2: Aligning With Your Competitor Will Give You An Opportunity To Learn And Help Improve Your Business
There will always be competitors in your business type who are outperforming you. This does not have to be a bad thing for your business. If you can align your business with a really good competitor, it will present an opportunity for you to learn about the business and improve your own business.
For example, if you own a web design company and you can align yourself with a really good web design company in your area, you have a wonderful opportunity to learn about different programming codes and styles you might not have considered before. You can also learn about marketing techniques that you never tried before and target markets that you never considered.
As stated before, aligning your business with your competitor may or may not apply. This is a decision you need to research carefully and make sure you weigh the pros and cons before partaking in this decision.