What is involved in conducting a competitive analysis?

Conducting a competitive analysis involves a comprehensive examination of competitors in the market. This process primarily includes researching competitors’ strengths, weaknesses, and marketing strategies. By understanding what competitors do well and where they may fall short, businesses can better position themselves to compete effectively. This analysis helps in identifying market gaps, differentiating products or services, and crafting strategies that capitalize on competitors' weaknesses.

The other options focus on narrower aspects of market analysis. Evaluating only product pricing does not encompass the broader landscape of competitor behavior and market dynamics. Interviewing customers to understand their preferences is crucial for gaining insights into consumer behavior but does not directly relate to analyzing competitors. Lastly, benchmarking against industry standards can be helpful, but it does not specifically address the competitive landscape as it does not consider direct rivals in the market. Thus, option B captures the essence of what a competitive analysis entails, making it the correct choice.