The Competitive Environment is, perhaps, the most important of the 6 Environments that influence a company involved in marketing, business,  international business or e-commerce. 

The degree to which one attends to the "other" environments is a consequence of the intensity of the Competitive Environment.

• copying your product and knocking off your designs,
• selling below your price, 
• using some of your advertising themes and concepts
• paying better wages to employees,
• sell a slightly different product that can be substituted for your's,

therefore it will be necessary to

• utilize every resource in the technological environment, 
• attend to all the language and geneder and age considerations of the social/cultural environment 
• carefully analyze trends in the economic environment
• monitor political movements and upcoming changes in the regulatory environment
• prepare contingencies for threats from weather extremes and  the geographic environment,

then 

• you don't have to use the latest technology, because your customers will not be drawn to anybody else, and you can therefore save money
• you do not have to worry about paying money for having marketing material translated into different languages for the Social/Cultural Environment
• you can charge a higher price because whether the Economy is good, or bad, does not matter - abscence of competition mean that if people want your product, they have to buy it from you and pay whatever price you charge
• you do not have to monitor changes to laws and regulations in such a detailed  way and can probably save money on legal fees
• you do not have to watch for weather or climatic problems cause if they do delay your shipping or sales, it doesn't matter cause customers can't buy from other suppliers anyways

Who?

Business competitors are:

• Other organizations offering the same product or service now 
• Other organizations offering similar products or services now 
• Other organizations offering a variation on a product or service, that you cannot
• Organizations that could offer the same or similar products or services in the future 
• Organizations that could remove the need for a product or service we sell

 

obvious

• not so obvious
• like Rogers video stores getting into the cell phone market to compete w Bell Mobility
• Polaroid cameras being eclipsed by digital cameras

• Honda - in the beginning no threat cause they made motorcycles - but when they moved to North America, they began to make small cars
• Rogers - known as a cell phone company competiting with the cell phone division of Bell - then Rogers entering the "home phone" market to compete with Bell in a way in which Bell previously had no competition

• not obvious at all, but really important to know who is going to make you extinct
• like the internet removing the need for encyclopedia's
• like www.canada411.ca removing the need for "white pages"
• Bell - cannabilizing it's own products - popularity of cell phones among young customers leading to a decline in young people obtaining land lines for phones when they get their first apartment