Competitor research refers to the process of systematic collection, collation, analysis and evaluation of existing or potential competitors in the market in which an enterprise is located, which is an important part of market research and an important basis for strategic management. Competitor research can help companies understand the competitive environment, identify competitive strengths and weaknesses, develop effective competitive strategies, and improve competitiveness and profitability.

champ consulting is a professional market research and consulting company, providing industry research, market segmentation and user behavior research, channel model research, competitor research, market entry research, consumer research, investment decision evaluation, ipo market segmentation research, investment project feasibility study, business financing plan and other segmentation consulting services for enterprises. Shangpu Consulting has rich experience and professional team in competitor research, which can provide customers with comprehensive, in-depth and accurate competitor information and provide strong support for customers' decision-making.

Champ Consulting's services in competitor research include the following four steps:

Identification of 1. competitors

Competitor identification is the first and most basic step in competitor research. Competitor identification refers to the identification of existing or potential competitors, including direct and indirect competitors, that an enterprise faces through various channels and methods. A direct competitor is an enterprise that competes with an enterprise in the same market, product or service field, such as a similar enterprise in the same industry. Indirect competitors are firms that compete with firms in relevant markets, relevant products or services, such as providers of substitutes in different industries.

In the identification of competitors, Shangpu Consulting adopts a variety of channels and methods, such as industry associations, government departments, professional media, network platforms, market research, expert interviews, etc., to collect basic information of competitors, such as name, address, scale, products or services, market share, revenue, profit, strategy, advantages, disadvantages, etc., to form a list and files of competitors.

Take the competitor research conducted by Shangpu Consulting for a pharmaceutical company as an example. The pharmaceutical company is mainly engaged in the research and development, production and sales of anti-cancer drugs, and its target market is China. Through the above channels and methods, Champ Consulting identified direct and indirect competitors of the pharmaceutical company, as follows:

Category Competitor Basic Information

Direct competitor Beijing Baiji Shenzhou Biotechnology Co., Ltd., a biopharmaceutical company focusing on the research and development, production and sales of innovative anti-cancer drugs, has a number of candidate varieties of anti-cancer drugs in the clinical trial stage, two of which have been listed in China and have a high market share. In 2019, the revenue is 2.89 billion yuan, the net profit is -0.98 billion yuan, and the strategic direction is globalization, diversification and innovation, the advantages are strong R & D capabilities, rich product lines and international partners, while the disadvantages are high R & D costs, lack of independent production capacity and marketing ability.

Direct competitor Shanghai Fosun Pharmaceutical Co., Ltd. is a comprehensive pharmaceutical enterprise integrating R & D, production and sales, covering chemical drugs, biological drugs, medical devices, diagnostic products and other fields. It has a number of anti-cancer drugs that occupy a certain share in the market, with a revenue of 27.18 billion yuan and a net profit of 3.86 billion yuan in 2019. The strategic direction is internationalization, innovation and diversification, the advantages are large-scale production capacity, diversified product structure and international market layout, while the disadvantages are relatively weak R & D capability, low product innovation and fierce market competition.

Indirect competitor Jiangsu Hengrui Pharmaceutical Co., Ltd., a pharmaceutical enterprise mainly focusing on chemical drugs, has a number of drug varieties with high popularity and influence in the market, including anti-cancer drugs, with a revenue of 24.65 billion yuan and a net profit of 5.87 billion yuan in 2019. The strategic direction is innovation, internationalization and diversification, and the advantages are brand effect, quality assurance and channel advantages, disadvantages are single product structure, insufficient innovation ability and high market competition pressure.

Indirect competitor Merck, a leading biopharmaceutical company in the world, has a number of anti-cancer drugs that occupy an important position in the global market, including pembrolizumab, which is currently the best-selling anti-cancer drug in the world, with a revenue of US $46.72 billion and a net profit of US $9.27 billion in 2019. Its strategic direction is innovation, internationalization and diversification. Its advantages are strong R & D capability, rich product line and extensive market coverage, the disadvantages are high R & D costs, legal risks and competitive market pressures.

Classification of 2. Competitors

Competitor classification is the second and important step in competitor research. Competitor classification refers to the classification of competitors into different categories or groups based on their characteristics and attributes for targeted analysis and evaluation. Competitors can be classified according to different criteria, such as market share, product or service quality, pricing strategy, innovation ability, cost structure, channel model, customer group, geographical distribution, etc.

In the classification of competitors, Champ Consulting uses a multi-dimensional analysis method, taking into account the various characteristics and attributes of competitors, and divides competitors into four categories, as follows:

Category feature representation

The leader has high market share, high product or service quality, high price strategy, strong innovation ability, low cost structure, diverse channel model, wide customer base, and wide geographical distribution.

Challenger Medium market share, Medium product or service quality, Medium price strategy, Medium innovation ability, Medium cost structure, Medium channel model, Medium customer group, Medium geographical distribution Beijing Baiji Shenzhou Biotechnology Co., Ltd.

Follower Low market share, low product or service quality, low price strategy, low innovation ability, high cost structure, single channel model, narrow customer base, narrow geographical distribution Shanghai Fosun Pharmaceutical Co., Ltd.

The market share of the new entrant is small, the quality of the product or service is unknown, the price strategy is unknown, the innovation ability is unknown, the cost structure is unknown, the channel model is unknown, the customer group is unknown, and the geographical distribution is unknown.

3. competitor analysis

Competitor analysis is the third and core step of competitor research. Competitor analysis refers to the in-depth study and comparison of competitors' indicators to reveal the strengths and weaknesses of competitors, as well as the differences and similarities between competitors. Competitor analysis can be carried out from multiple perspectives, such as market analysis, product or service analysis, price analysis, cost analysis, financial analysis, marketing analysis, innovation analysis, and strategic analysis.

In terms of competitor analysis, Champu Consulting adopts multi-angle research methods and uses various analysis tools and models, such as Porter's Five Forces Model, Boston Matrix, Value Chain Analysis, VRIO Analysis, SWOT Analysis, etc., to quantitatively and qualitatively evaluate the various indicators of competitors to form competitor analysis reports.

Taking the competitor analysis conducted by Champ Consulting for a pharmaceutical company as an example, the following is part of the analysis of Mercadon in the United States:

Market Analysis: MSD has a leading position in the global cancer drug market, with sales of its cancer drugs reaching $20.76 billion billion in 2019, accounting for 44.5 percent of its total revenue and 18.2 percent of the global cancer drug market. Its main anti-cancer drug varieties are Pembrolizumab, Catruda, Novito, Ibrimine, Herceptin, etc., of which Pembrolizumab is currently the world's best-selling anti-cancer drug, with sales of $11.31 billion million in 2019, accounting for 9.9 of the global anti-cancer drug market. Merck also has strong competitiveness in the Chinese anti-cancer drug market, with sales of its anti-cancer drugs reaching 1.68 billion billion yuan in 2019, accounting for 3.2 percent of the Chinese anti-cancer drug market. Its main anti-cancer drug varieties are Pembrolizumab, Catruda, Novito, Iblemet, etc., of which Pembrolizumab is currently the best-selling anti-cancer drug in China, with sales of 1.02 billion yuan in 2019, accounting for 1.9 of China's anti-cancer drug market.

Product or service analysis: Merck's anti-cancer drug product line is very rich, covering multiple cancer types and treatment areas, such as lung cancer, breast cancer, melanoma, colorectal cancer, kidney cancer, gastric cancer, esophageal cancer, Liver cancer, head and neck cancer, ovarian cancer, endometrial cancer, bladder cancer, prostate cancer, lymphoma, leukemia, etc. The quality and effect of its anti-cancer drugs are also very high. Most drugs have undergone strict clinical trials and approvals, and have been certified and recommend in many countries and regions, such as the United States, the European Union, Japan, and China. Its anti-cancer drug service is also very perfect, providing a variety of support and help, such as patient education, medication guidance, side effect management, medication assistance, medication subsidies and so on.

Price analysis: The price strategy of Merck's anti-cancer drugs is high-end pricing, that is, selling its anti-cancer drugs at a price higher than the market average to reflect the high quality and effectiveness of its anti-cancer drugs, as well as the high value and reputation of its brand. The price of its anti-cancer drugs varies in different countries and regions, mainly affected by local market demand, competition, policies and regulations, exchange rate changes and other factors. Taking pembrolizumab as an example, its price in the United States is about US $9800 for a 150 mg bottle of liquid dosage form, while the price in China is about 6500 yuan for a 100 mg bottle of solid dosage form. Although the price of Merck's anti-cancer drugs is high, the sales volume of its anti-cancer drugs is still very high because of its significant effect and has been favored and trusted by many patients and doctors.

Cost Analysis: The cost structure of Mercadon's anti-cancer drugs mainly includes research and development costs, production costs, sales costs and management costs. Among them, research and development costs are the largest cost expenditure, accounting for about 40% of its total cost, mainly used to support its anti-cancer drug clinical trials, new drug applications, patent applications and other activities. Production cost is the second largest cost expenditure, accounting for about 30% of its total cost. It is mainly used to purchase raw materials, equipment, manpower and other resources, as well as to pay for transportation, warehousing, quality inspection and other expenses. Cost of sales is the third largest cost expenditure, accounting for about 20% of its total cost, mainly used to pay for advertising, promotion, channels, distribution and other expenses. Management cost is the smallest cost expenditure, accounting for about 10% of its total cost, mainly used to pay administrative, financial, legal, personnel and other expenses. The relatively high cost level of Merck's cancer drugs is mainly due to its high R & D and production costs, but its cancer drug margins remain high, at 44.6 percent in 2019, as its cancer drugs are also expensive.

Marketing analysis: The marketing strategy of Merck's anti-cancer drugs is differentiated marketing, that is, according to different markets, products or services, customers and competitive conditions, different marketing combinations are used to meet different needs and preferences, as well as to highlight different advantages and characteristics. Its marketing mix consists of four elements: product, price, channel and promotion. Its product strategy is to continuously introduce new varieties of anti-cancer drugs with innovation as the core to meet the needs of different cancer types and treatment fields, as well as to improve the quality and effect of its anti-cancer drugs, so as to enhance the competitiveness and market share of its anti-cancer drugs. Its pricing strategy is based on high-end pricing to reflect the high quality and effectiveness of its anti-cancer drugs, as well as the high value and reputation of its brand, while also taking into account different markets, products or services, customers and competitive conditions, to make appropriate price adjustments to maintain the price advantage and profit margins of its anti-cancer drugs. Its channel strategy is characterized by diversification, using various channels and modes, such as direct sales, agency, distribution, cooperation, network, etc., to expand the market coverage and sales network of its anti-cancer drugs, so as to increase the market share and sales volume of its anti-cancer drugs. Its promotion strategy is to use a variety of promotional tools and methods, such as advertising, public relations, sales promotion, personal sales, direct marketing, etc., to improve the visibility and influence of its anti-cancer drugs, as well as to enhance the attractiveness and loyalty of its anti-cancer drugs.

Innovation analysis: The innovation ability of Merck's anti-cancer drugs is its biggest advantage and feature, and it is also a key factor for it to maintain its leading position in the global anti-cancer drug market. The innovation ability of Merck's anti-cancer drugs is mainly reflected in the following aspects: first, in the research and development of anti-cancer drugs, Merck has a strong R & D team and R & D platform, as well as rich R & D resources and R & D experience, which can constantly explore and develop the principles and mechanisms of new anti-cancer drugs, as well as the types and fields of new anti-cancer drugs, such as immunotherapy, targeted therapy, gene therapy, etc., to meet the needs of different cancer types and treatment areas, as well as to improve the quality and effectiveness of their anti-cancer drugs. Second, in the production of anti-cancer drugs, Merck has advanced production equipment and production technology, as well as strict production standards and production processes, which can ensure the production quality and production efficiency of its anti-cancer drugs, as well as meet the production scale and production needs of its anti-cancer drugs. Third, in terms of anti-cancer drug services, Merck has a complete service system and service team, as well as a variety of service content and service forms, which can provide users of its anti-cancer drugs with a full range of support and assistance, such as patients Education, medication guidance, side effect management, medication assistance, medication subsidies, etc., to improve the user satisfaction and user loyalty of its anti-cancer drugs.

4. Competitor Assessment

Competitor evaluation is the fourth and important step in competitor research. The evaluation of competitors refers to the comprehensive evaluation and comparison of the comprehensive strength and competitive advantages of competitors according to the analysis results of competitors, so as to determine the competitive position and competitive situation of competitors, as well as the threats and opportunities of competitors to the enterprise. Competitor evaluation can be conducted from multiple perspectives, such as market evaluation, product or service evaluation, price evaluation, cost evaluation, financial evaluation, marketing evaluation, innovation evaluation, strategic evaluation, etc.

In terms of competitor evaluation, Shangpu Consulting adopts multi-angle evaluation methods, and uses various evaluation indicators and evaluation models, such as market share, market growth rate, profit margin, cost efficiency, innovation ability, brand value, customer satisfaction, Competitive advantage, competitive risk, etc., to quantitatively and qualitatively evaluate the comprehensive strength and competitive advantage of competitors to form an evaluation report of competitors.

Taking the competitor assessment conducted by Champ Consulting for a pharmaceutical company as an example, the following is part of the assessment of Mercadon in the United States:

Market evaluation: Merck has strong competitiveness and influence in the global anti-cancer drug market, its market share and market growth rate are in the leading position, its brand value and brand reputation are also very high, its market advantage mainly comes from its innovation ability and product quality, and its market risk mainly comes from its high-end pricing and legal proceedings. Merck also has strong competitiveness and influence in China's anti-cancer drug market, its market share and market growth rate are in the forefront, its brand value and brand reputation are also very high, its market advantage mainly comes from its innovation ability and product effect, and its market risk mainly comes from its high-end pricing and market competition.

Product or service evaluation: Merck's anti-cancer drug product line is very rich and diverse, covering many cancer types and treatment fields, and its product quality and product effect are also very high. Its product advantages mainly come from its innovation ability and quality assurance, and its product risks mainly come from its side effects and substitutes. The anti-cancer drug service of Merck Company in the United States is also very perfect and professional, providing a variety of support and help. Its service advantage mainly comes from its service system and service team, and its service risk mainly comes from its service cost and service satisfaction.

Price evaluation: The price strategy of Merck's anticancer drugs is high-end pricing, that is, to sell its anticancer drugs at a price higher than the market average. Its price advantage mainly comes from its product quality and product effect, as well as its brand value and brand reputation. Its price risk mainly comes from its price sensitivity and price competition.

Cost assessment: The cost structure of Mercadon's anti-cancer drugs is relatively high, mainly due to its high research and development costs and production costs, its cost advantage mainly comes from its cost efficiency and cost control, and its cost risk mainly comes from its cost pressure and cost changes.

Financial assessment: The financial position of Mercadon's anti-cancer drugs is relatively good, mainly due to its high revenue and profits, its financial advantage mainly comes from its profit margin and cash flow, and its financial risk mainly comes from its financial liabilities and financial supervision.

Marketing evaluation: The marketing strategy of MSD's anti-cancer drugs is differentiated marketing, that is, different marketing combinations are adopted according to different markets, products or services, customers and competitive conditions. Its marketing advantages mainly come from its marketing innovation and marketing effect, and its marketing risks mainly come from its marketing costs and marketing feedback.

Innovation evaluation: The innovation ability of Merck's anti-cancer drugs is its biggest advantage and feature, and it is also a key factor for it to maintain a leading position in the global anti-cancer drug market. Its innovation advantage mainly comes from its innovation ability and innovation effect, and its innovation risk mainly comes from its innovation cost and innovation difficulty.

Strategic evaluation: The strategic direction of Merck's anti-cancer drugs is innovation, internationalization and diversification, that is, innovation as the core, and constantly introduce new anti-cancer drugs to meet the needs of different cancer types and treatment fields, And improve the quality and effect of its anti-cancer drugs; with the goal of internationalization, continue to expand the global market to increase the market share and sales of its anti-cancer drugs; characterized by diversification, continuously enter other pharmaceutical fields to increase the diversity of its product structure and income structure. Its strategic advantages mainly come from its strategic clarity and strategic execution, and its strategic risks mainly come from its strategic conflicts and strategic changes.

Based on the above analysis and assessment, the followingConclusion：

Merck is the leader in the global anti-cancer drug market, its comprehensive strength and competitive advantage is very strong, its competitive position and competitive situation is very stable, its threat to a pharmaceutical enterprise is very large, its opportunity to a pharmaceutical enterprise is very small.

A pharmaceutical company is a newcomer in the global anti-cancer drug market. Its comprehensive strength and competitive advantage are very weak, its competitive position and competitive situation are very unfavorable, and its threat to Merck is very small.