CMA Competitive Intelligence & Analysis Flashcards

What is 'benchmarking' in a competitive intelligence context?

Answer: Comparing a company's performance metrics against industry leaders or competitors

Benchmarking involves systematically measuring a company's processes, products, or performance against best-in-class competitors to identify improvement opportunities.

Which analytical approach segments competitors into 'strategic groups' based on similar strategies and resources?

Answer: Strategic Group Analysis

Strategic Group Analysis clusters competitors that follow similar strategies within an industry, helping analysts identify the most direct competitive threats.

A market analyst tracking a competitor's 'share of voice' is measuring:

Answer: The competitor's advertising spend as a percentage of total category advertising

Share of voice (SOV) measures how much of total category advertising or media presence belongs to a specific brand, often used as a proxy for brand strength.

The 'competitive response matrix' helps analysts predict how competitors will react to strategic moves by assessing their:

Answer: Awareness, motivation, and capability to respond

A competitive response matrix evaluates whether a competitor is aware of the strategic move, is motivated to respond, and has the capability to react effectively.

What does the term 'competitive moat' refer to in market analysis?

Answer: A sustainable competitive advantage that protects a company from rivals

A competitive moat, popularized by Warren Buffett, is a durable competitive advantage—such as brand, network effects, or cost advantages—that protects a company's market position.

Secondary research in competitive intelligence typically includes:

Answer: Published reports, company filings, trade publications, and news articles

Secondary research uses existing published sources like annual reports, industry studies, government databases, and news to gather competitive information without direct interaction.