Third in a series with Victor Cheng, a San Francisco based business coach, and author of the Recession Proof Business.

Tom:
As companies expand their product and service offerings to fill holes in the market, created by retreating competitors, or even retreating suppliers, what should companies think about to increase their odds of success?

Victor:
Two things.

First, customer intimacy is a major competitive advantage in this kind of environment. The better you know your customer’s current (emphasis on the word “current”) situation and needs, the more likely you will win.

Our economy is going through massive change. This creates massive change for the consumer and businesses within the economy. You have to assume everything is different, take nothing for granted, and learn what your customers are up to, as if you’re meeting them for the first time.

Second, bring something unique or different to the table. If you’re going to fill the space left by a departing competitor, how will you distance your company from the remaining competitor? If you don’t differentiate enough, you have no assurances that your company isn’t the next one departing the marketplace?

Finding the competitive edge is much easier, when you know the customer really well. The two go hand-in-hand.

You can download a free e-copy of Victor’s book, The Recession-Proof Business. Our conversation continues tomorrow.