A market and competition analysis is an extended qualitative and quantitative examination of the individual market segments. The inquiry focuses on the verification of the sustainability of the company’s business model from the market and competition perspective („outside-in“). Market and competition analysis is typically delivered on such occasions where it is necessary to provide:

• Evaluation of the future potential for a specific product or technology in the run-up to an investment decision concerning the development of a novel or the reorientation of the existing business units

• A thorough inquiry into the market and competition positioning of a company during a takeover or shareholding investment (either by a strategic or private equity investor).

In general, market and competition analysis includes:

• Analysis of the match between the company’s products and customer clusters and the quantification of the individual market segments. Positioning of the product and services portfolio.

• Description of the company development compared to relevant market (Market share development, sales figures, pricing and cost components)

• Analysis of the barriers to market entry and the competition intensity in its industry.

• Company’s pricing policy versus its main competitors.

• Description of the company’s business dependencies upon the upstream and downstream value chain players in its industry.

• Identification of the competitive advantages and disadvantages as compared to the specific competitors in the individual market segments.

• Company’s market positioning from the customers’ point of view, especially concerning its delivery on the typical customer demands in comparison to the direct competitors.

• Description of the most important market drivers and hurdles concerning the products and the underlying technologies of the analyzed company.