If you want to be successful in business, you need to welcome your competition with open arms, just don’t let them walk all over you. Strike the right balance between respecting your rivals and focusing on how you can beat them, and you’ll have a winning formula.

Starting a business is a lot of work, and it’s easy to convince yourself that the grass is greener on your rivals’ side of the fence companies that are always trying to keep up with the Joneses will always be a step behind, and this can foster a culture that is, at its core, reactionary. Businesses that are reactionary forgo innovation and can quickly become irrelevant to consumers.

1. Zoom In On Your Niche

Face facts. You can’t expect to hold on to every customer. Accept it and focus your energy on identifying your ideal customer and developing a plan to win your share of that niche. In choosing to attract customers who need and value your services, you will secure your market share even in the face of competition

2. Assess Your Competition And Fill The Void

Get to know your competition. What are they doing differently? What are they good at? What are their weaknesses? The latter is important because it gives you an opportunity to step-in and step-up your game in these areas. If you can capitalize on your competitor’s weaknesses, you will chart a path for yourself and exploit a profitable niche for your business.

3. Seize The Opportunity, Be Unique

Even if you offer the same products and services, you are never going to be the same as your competition. This is where opportunity lies.
Review what makes your business unique – often it’s a combination of you as business owner, your team, and all the other factors that differentiate you from your competition. Refocus your sales, operational, and marketing efforts to emphasize the unique customer experience that you offer.

4. Don’t Underestimate The Competition

Competitors may come in different shapes and sizes, but they have one thing in common,they all want to beat you. You may lose sleep over bigger competitors with their impressive cash flow, customer base and power, but smaller competitors can actually pose a bigger threat.

5. Don’t Play Dirty

There’s no reason we can’t get along. Competing businesses can actually co-exist within a community and even cooperate on occasion. Even when a competitor pulls a dirty trick, like stealing your customer list, don’t retaliate. If your competitor is willing to stoop that low, chances are that customer service is not their top priority. Your customers will come back once they realize their mistake. Just take the high road with competitors.

In business, you can’t make the competition disappear completely, but that’s alright. Accept the challenge — you will have a stronger business because of it.