Influence of Competition on Performance of Enterprises: A Literature Review
- November 1, 2019
- Posted by: RSIS
- Categories: IJRISS, Social Science
International Journal of Research and Innovation in Social Science (IJRISS) | Volume III, Issue X, October 2019 | ISSN 2454–6186
Influence of Competition on Performance of Enterprises: A Literature Review
Maryam A. Koko, Nasiru Liman Zuru
Faculty of Management Sciences, Usmanu Danfodiyo University Sokoto, Nigeria
Abstract: – The objective of this study is to investigate the influence of competition on performance of enterprises. Specifically, the relationship between competition and performance of enterprises. Based on the review of the literature and past studies, the findings of this study suggest that, competition have a negative effect on the performance of enterprises. The implication is that, enterprises should be aware that competition in the industry effect their organisational performance therefore, these enterprises should focus on good business practices to be able to cope with the competition in the industry in order not only to improve their performance but also to sustain their success.
Keywords: Competition, Performance, Enterprises
I. INTRODUCTION
The complexity and dynamism of competition as one of the important external factors in the business environment can influence the activities of an organization and the way it chooses to structure its business activities. As such, organizations need to organize their activities by more effective structures and forms as well as maintaining a balance between the influence of the external forces and the internal environment of the organizations (Gwasi & Ngambi, 2014; Moradi, Velashani, & Omidfar, 2017; Nkundabanyanga, Akankunda, Nalukenge, & Tusiime, 2017).
More importantly, it is essential for management of organizations to know, understand, and appreciate that competition is usually complex. The management of the organization must not only be aware of the competition in the environment but also able to oversimplify the information about it that flows in to the organization. With regard to the information about competition, some information is easy to get. However, there is some other information about competition may be more difficult to obtain.
