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Abstract

In today’s globalised business World, business firms toil hard for to respond to business competition. Responding to business competition needs to know factors determining competition or rivalry. This study tries to determine factors affecting the competitive rivalry and to know the relationship among factors affecting competitive rivalry and competitive rivalry. Researcher selected 127 rice shop owners using a convenient sampling technique. Results showed that values of Cronbach alpha, items of factors are higher than 0.6. Values of KMO for items are higher than 0.5. It is concluded that values of R, R square and adjusted R square that are greater than 0.953, 0.908 and 0.905 respectively showing that there is a high strength of association between among identified factors such as threats of new entry, power of suppliers, threats of substitutes, power of buyer and competitive rivalry of rice shop owners. F statistics confirm that all factors are related with competitive rivalry. But, T test confirm that all factors except threats of new entry are with competitive rivalry.

Keywords: Competitive rivalry, Multiple regression analysis, Rice Shops