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The Competitive Industry Drivers Analysis evaluates the requirements for a web site based on the expectations established by competitors and related industries. The primary requirement for business success is to meet your customers needs better than the competition, on the Internet the goals are the same.
The competitive analysis first looks at direct competitors, then expands to include indirect and potential competitors. Research will focus on the quality and features of these web sites to establish a set of baseline expectations your site will need to meet (and beat) to be competitive.