The wonderful thing about free enterprise is that anybody can start a business. With the right knowledge, capital, and readiness, entrepreneurship is the backbone of any economy and motivates individuals (or groups of individuals) to venture into fulfilling experiences. Free enterprise is inspiring — and is creating a marketplace that’s seriously overcrowded.

Strategy is key in succeeding in the business world. Successful businesses are those that operate differently from the other players in the same industry. Modeling a business exactly from another may result, their ability to compete and their profitability all rely on working doubly hard in executing a non-differentiated business, just to survive.

In developing a business strategy, you must answer these two questions:

In What Market Are You Going to Compete? The best strategy of all is to enter a market that has NO competition, not easy to break into, and is big enough to bring in the profits. The reality is such a market is getting tougher and tougher to find. Sometimes, you will need to recreate or redefine the market in order to dominate. You could highlight on a particular product or service, but still accept generalized contract to keep generating sales. Promote heavily on the business segment you wish to be known as – something that sets you apart from the competition, ideally – and you may also persist with providing the regular aspects of the business.

How are You to Compete Differently in this Market? Examine the existing market leader’s strategy. It might be tempting to replicate it, but it may bring less-than desirable results especially if you will not replicate all the other factors like capital, positioning (location), and marketing advantages that the market leader has, too. So look closely at the market leader’s strategy ONLY to devise your distinctive strategy. You may take hints at how to succeed from there, but look into vale-adds, customer premiums, unique marketing plans, a demographic that the market leader is not already targeting, etc.

Let’s go a little deeper into answering this second, very important question. You can stand out by pursuing alternative pricing. Look into either low pricing (sell a similar product or service at a lower pricing than the competition)or premium pricing (sell a similar product or service with value-adds at a reasonably higher price). Another way for your business to set itself apart from the rest by devoting your brand to exceptional customer service. Your customer base is an indispensable instrument in propagating brand awareness. Take care of your customer base, always keep them trusting that their needs and concerns are all being heard and addressed.

If you truly want lasting success for your business, substantial actions must be taken. Consider specialization as much as possible. Forge partnerships when feasible. Do not be afraid to make both small radical changes where and when needed. Do what it takes to stand out.