Competitor-centered company refers to a company whose moves are mainly based on competitors’ actions and reactions.
A competitor centered company is one that spends most of its time tracking competitors’ moves and market shares and trying to find strategies to counter them. This approach has some pluses and minuses. On the positive side, the company develops a fighter orientation, watches for weaknesses in its own position, and searches out competitors’ weaknesses. On the negative side, the company becomes too reactive. Rather than carrying out its own customer relationship strategy, it bases its own moves on competitors’ moves. As a result, it may end up simply matching or extending industry practices rather than seeking innovative new ways to create more value for customers.