Central European Management Journal
Measures of Competitive Intensity – Analysis Based on Literature Review
Kozminski University
Abstract
Purpose: To systematize the existing approaches and tools used for measuring competitive intensity.
Methodology: Systematic literature review along with critical literature review.
Findings: Identifcation of two main approaches to measuring competition intensity: the frst pertains to research based on experts’ opinions and involves the use of questionnaires (primary sources), while the second is based on structural variables used with a variety of indexes (secondary sources). In addition, variables applied for the purpose of measuring the intensity of competition are divided into structural and behavioural.
Practical implications: The issue of measuring competition intensity occupies a prominent place in the discussion on the effectiveness of inter-organizational relationships. The fndings outlined in this paper may help managers to develop/adopt the right approach supporting their strategic decisions.
Originality: The paper provides a complex review of the existing methods and measures of competitive intensity. It systematizes recent knowledge about competitive intensity measurements.