Introduction to Special Issue on Competition in Marketing.

The timing of the Special Issue on Competion in Marketing is particularly appropriate because of the growing importance of competition in marketing activities. With a slowdown in world economic growth, firms must take business away from competitors if they are to sustain their own growth rate. Deregulation, globalization of markets, flexible manufacturing, and rapidly changing technology are producing new sources of competition and altering the nature of competition in markets. Competition is the process by which independent sellers vie with each other for customers in a market. Because substitutes exist for most products and services, firms typically encounter competitors when marketing their offerings. Consequently, the effectiveness of marketing programs usually depends on the reaction of both customers and competitors. However, marketing theories and research have emphasized issues related to customer response and have directed less attention to competitive response. This lack of attention to competitive effects is surprising because it is difficult to imagine a marketing decision that is not affected by competitive activity. [ABSTRACT FROM AUTHOR]