Do you know what you're going up against? Are you planning to market a Widget app that is really similar to another Widget in Silicon Valley? If so - you had better do a great job of separating yourself and highlighting why your Widget is better than all the others. Competition is fierce.

Understanding your competition is about understanding how you can strategically position your business in contrast to your competitors. It is also helpful to understand areas in which you can deliver a product or service that your competitors aren't offering.

If you can artfully communicate that your Widget app saves battery life and has an awesome laser beam keyboard feature (when other Widget apps don't) then you can carve out space for your business in a competitive market place.

Another great result of researching your competition is that you might find there isn't much competition. If this was a football game and you were the Quarterback - it would the equivalent of a wide open hole in the defensive line - RUN WITH IT!