Framework
Detecting Intrasexual Competition
TL;DR
Detecting Intrasexual Competition - strategic framework from The Biology of Business.
A diagnostic framework to identify whether your market involves arms race dynamics (intrasexual competition) versus customer appreciation (intersexual choice), which determines appropriate competitive strategy.
When to Use Detecting Intrasexual Competition
Use when competitors seem to be escalating spending without clear ROI, when feeling pressure to match competitor moves, or when evaluating whether to participate in or exit an arms race.
How to Apply
1
Relative vs. Absolute Value
Determine whether value is positional or absolute.
Questions to Ask
- Do customers care about performance relative to others vs. absolute performance?
- Would customers be satisfied with current product if competitors didn't exist?
- If competition drives demand more than utility = intrasexual
2
Zero-Sum Status Competition
Check for positional dynamics.
Questions to Ask
- Does everyone escalating leave relative positions unchanged?
- Is the primary value in differentiation from lower tiers?
- If yes to both = arms race dynamic
3
Collective Action Problem
Assess whether de-escalation is possible.
Questions to Ask
- Would everyone benefit from de-escalation?
- Can any individual defect without status cost?
- If beneficial but impossible = intrasexual trap
4
Visibility Requirements
Evaluate signaling necessity.
Questions to Ask
- Does the product need to be publicly visible to provide value?
- Do customers choose conspicuous versions over functionally identical private versions?
- High visibility requirement = status competition