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Posted on July 27th, 2012, by

Petco is one of the leading companies operating in the pet care industry (Gwynn, 2004). Traditionally, the company is oriented on the introduction of innovations to achieve a higher customer satisfaction that may give the company a strategic advantage over its competitors. In this respect, the introduction of Global Tracking System collars for dogs is one of the steps targeting at taking the leading position in the market. However, its major competitors also attempt to achieve a higher customer satisfaction and loyalty.

In fact, Petco is traditionally offering customers products related to pet care, such as GTS collars for dogs at affordable prices that was an effective tool to attract a large number of customers (Petco, 2008). However, its major competitors, such as Pet Smart, for instance, also viewed the low price as a tool to attract a larger number of customers. On analyzing the pricing strategy of Pet Smart and Petco, it should be said that both companies are oriented on the low pricing, while the quality of products and services of both companies is comparable and high.

Nevertheless, Petco attempts to gain a better market position through introduction of such innovations as GTS collars for dogs.

In this regard, Happy Tails Dog Spa may be named as one of its major competitors which offer new products and services of the high quality. However, Happy Tails Dog Spa is mainly oriented on the production of services and products which price is higher compared to those of Petco and, what is more, unlike Petco, which is specialized on products and services destined for different pets, Happy Tails Dog Spa is mainly focused on services offered to owners of dogs and their pets.

Thus, the current competitive position of Petco is highly prospective.

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