For this paper, the three competitors selected for analysis are Apple, Wal-Mart, and Amazon. The company faces a big threat from introduction of many online sites offering the same service. The growing number offers competition to the online business. This competitors share the market in the sale of books, DVDs, and music.
Apple is a leading company involved in the sale of music globally. The company is directly involved in the music business through its online iTunes platform. Apple’s main competitive advantage is that it is a global brand that is well known by consumers and musicians. This implies that it has a large number of buyers and sellers of music. Furthermore, Apple has a highly innovative development team that ensures that the company stays ahead of its competition. Apple also sells music through other products that the company produces such as the iPhone and iPad and this helps in increasing its sales reach. Apple also enjoys customer loyalty based on its products. This is mainly because the company is known for its high quality products and services. The last competitive advantage enjoyed by Apple is that the company is highly profitable and mainly reinvests its profits into product and service innovation.
Wal-Mart, on the other hand, offers competition to CanGo. This is mainly because it provides an online platform through which customers can purchase movies and books. Wal-Mart’s major strength is that the company utilizes both online and offline stores to reach customers. This implies that the company has a high number of customers who sustain its competitive edge. Furthermore, this helps in increasing its overall sales volume. Wal-Mart is also a reputable brand that customers can easily identify. This implies that it this creates the company a competitive advantage over its other competitors.
Amazon is another online sales platform that offers competition to CanGo. One of the Major strengths that the company has is the hold it has online platform for sales of videos books and music. Amazon over the years has been able to develop into one of the leading internet sales platforms. This implies that Amazon has been able to mould itself into a trustworthy company making its customers loyal. The company strengths also lies on the fact that the company is based online hence making it cost effective. This is mainly because customers can easily be able to access products and services easily. The company’s ability to innovate and their creative ability also acts as a major strength for the company. This is evident in one of its major products, the kindle, which the company relies on for online sales of books and eBooks (Wittekind, 2013).
Wittekind, E. (2013). Amazon.com: The company and its founder. North Mankato, Minnesota: ABDO Publishing Company.