Competitor+Analysis-+Anticipating+Competitive+Actions

Peter Coughlan, et al. **“**Competitor Analysis: Anticipating Competitive Actions.” HBS Note 9-701-120.

When reading the article, here are some main points I got from the reading (besides the obvious use of Game Theory in the assignment): When choosing a strategy (this can be used directly in Ryanair to help us make a decision) - Don’t forget to consider behavioral biases;
 * Representativeness: don’t just generalize about a situation based on a few observations of similar situations in the past
 * Overconfidence: don’t overestimate capabilities or possibility of success
 * Confirmation bias: don’t look for data that ONLY confirms what you already think is the right choice. Play devil’s advocate.
 * Endowment effect: defined as “phenomenon in which individuals or organizations demonstrate they value goods more when they own them than when they do not (also related to status quo bias)
 * Don’t justify past actions

- Let’s make sure to identify (if necessary): I understand that not everything will need to be included in our analysis since the memos are short and they’re mostly related to calculations, but it may help us justify our points after we run the math. Hope this is an okay start on my part for Thursday.
 * The competitors’ current strategy
 * The competitors’ strengths and weaknesses
 * What drives the competitor
 * The competitors’ future goals
 * The competitors assumptions about its industry and situation that it is in
 * These characteristics above could also be identified for Ryanair to help our analysis, not just the competitor
 * Direct quote: “This framework can be used for self-analysis as well. It could help a company understand its own position in its environment. More importantly, it helps a company understand what conclusions is competitors are like to draw about it.