A multivariate analysis of single competitive markets in a services

Abstract

The concept of the single competitive market (SCM) has been introduced in the marketing and strategy literature to represent the most appropriate unit of analysis for the study of competitive strategy. It captures the notion that competition takes place amongst companies' offerings rather than the companies themselves and that through the market-place customers are the final arbiters of success. A competitive advantage can only exist in relation to the market and the other offerings in the market. This paper presents a multivariate analysis of the possible influences on the extent of recognition and adoption of the SCM in a services environment. The welldocumented characteristics of many service offerings and their impact on consumer cognition may have implications for the ease of adoption of the SCM concept. This study employs a survey of senior marketing and strategy personnel in financial services, a highly typical services offering being potentially highly physically and mentally intangible, to explore hypotheses regarding the extent of adoption. It is concluded that managers who are involved in the marketing of a large number of offerings that, potentially, customers find complex, are more likely to employ the notion of the SCM when mapping their competitive environment.

Keywords:

• Services Marketing
• Single Competitive Markets
• Marketing Financial Services
• Competitive Marketing Strategy