market commonality and resource similarity
The
terms “market commonality” and “resource similarity” to study rivalry among
competitors.
Market commonality can be
defined as the number and significance of markets that a firm competes in with
rivals.
Resource similarity is the
extent to which the type and amount of a firm’s internal resources are
comparable to a rival.
Responses for
applying these concepts to two rival firms will vary based on the firms
selected.
We should investigate
market commonality and resource similarity issues while looking for areas of
potential competitive advantage along each firm’s value chain.
