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Competitive forces affect strategy because your competitors react to the strategic actions you take in

the marketplace, and your company has to react to their strategic moves. You have to make sure
this interplay works to your advantage by using SWOT analysis to identify your company's strengths,
weaknesses, opportunities and threats, and by performing the same analysis for your competition.
You use this information to take action in areas where you are strong and your competitors are
weak, exploiting their threats and capitalizing on your opportunities.

The reality is that a competitive advantage is enabled by the company itself, both in its
responsiveness to the external environment and in its own structural advantages.

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