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Since competitive environment,termed as the market structure, is the dynamic system in which our business competes. If it is to consider the World economic conditions, it might increase the cost of raw materials, processing companies that supply your industry to charge more, raising your overhead costs. At the other end of the scale, i.e. local events, such as regional labor shortages as well as natural disasters, also affect the competitive environment the industry to charge more, raising your overhead costs(Stan,2012). Direct competitors provide products or services similar to yours.Additionally to direct competitors, some businesses also face competition from providers of dissimilar products or services.
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