Advantages of Competitive Benchmarking

(1) It provides similar structure and constraints in the benchmarked company.
(2) Accessibility of data is more difficult as compared to internal benchmarking but easier than the best practice benchmarking.
(3) Threats are relatively less.
(4) Confidence in the decision makers mind due to similarity with competitors.
(5) The disadvantage in internal benchmarking is the chance of complacency and arrogance. This is overcome in this approach.