Computer retail locations are often viewed as specialty stores, and as such their main competitors consist of internet retailers, consumer electronic stores, and catalog retailers, in addition to resellers, warehouse club stores, direct sales store outlets, office supply retailers, and mass merchandisers.
The demand in the computer retailing industry is driven by personal income of the consumer, growth of businesses, and any innovations that take place within the technology sector. Individual companies focus their efforts on developing efficient and effective advertising strategies, pricing their products competitively, and providing stability and excellence in consumer services in order to generate a profit. Smaller companies in this industry prioritize providing customers with superior service, catering to a localized market, and keeping specialized products stocked. Large companies have an advantage as they possess economies of sale in the areas of marketing, purchasing, and distribution.