Economic gardening: a role for government agencies in competitive intelligence

It has been shown that, of the three, CI offers the greatest benefits. In this context, Littleton compiled relevant databases and geographic information systems, produced marketing lists, noted industry trends, monitored new products, and carried out legislative research. It offered these information services either free or at a substantial discount. In any event, government employees serving overseas should be capable of providing businesses with information concerning particular business environments, the nature and extent of competition in specific markets, how competitors differentiate their products and services, and the regulations covering those markets.

Usually, the intention of economic gardening is to encourage the growth of local firms. Economic hunting, on the other hand, aims to attract an influx of new businesses and industries. Whatever the intention, pertinent information needs to be gathered and analysed, and distributed rapidly to entrepreneurial SMEs.

Government CI services should aim to provide businesses with information concerning particular business environments, the nature and extent of competition in specific markets, how competitors differentiate their products and services, and the regulations covering those markets.

For example, one company wanted to identify new markets and clients for their consulting business, one which worked with developers and municipalities to bring recycled water to residential areas. The regional government ensured that they received customised GIS maps showing water districts and municipalities in their state, a list of local residential developers and builders, lists of homeowners associations in their region, and market research reports on the recycled water industry.

Another business offering art instruction to adults and children wanted to improve their marketing efforts aimed at children. They received contact information for homeowner's associations that had been identified as having high income residents, together with contact information for local homeschooling associations. They also received quotations, extracted from the professional literature, about the connections between arts education and learning, to be included in their promotional literature. Finally, they gained access to a graphic arts intern to help them develop a new brochure.

In addition to providing information, SMEs should be encouraged to make a contribution by setting up their own CI operations. They should be made aware of the very low cost of doing so, and that this may be easily achieved by following the tips in my brief article, DIY Detection: Competitive Intelligence for SMEs, on the topic. It is worth pointing out that the most suitable people to carry out CI are a company’s own employees; they know the business best.

Finally, unless entrepreneurs take notice of what is happening around them, they will continue to blunder about in the dark, not knowing where they are going, what their competitors are doing, or what business opportunities are passing them by.