One of the struggles and causes of anxiety for small businesses is the competition. It's either the reality that you'll lose deals to the competition, OR just the anxiety because you might (or when will you?)
"I can't make any money in my area"
"No one can sell for that price"
One of the best ways to combat this is by getting in front of the knowledge. When you know your competition, you:
Steps To Competitive Analysis
Identify Them
Make A List And Categorize Them
Gather Information
Info - The Basics
Info - Social Media
For basically everything below, don't bother with the All Competition and try not to focus too much time on the Close Competition. You really want to put the effort into Direct Competition.
Info - Websites
Info - Shop Them
This work can be done by yourself or someone you trust.
Analyze
Now it's time to step back and look:
If you compare yourself, where can you shine? Look at their weaknesses and find where you can be stronger.
Maybe they cannot deliver anything in less than 2 weeks, but you can do next day.
Maybe they only offer really cheap shirts they stock, but you offer higher-end apparel.
They might advertise low prices but have lots of hidden fees.
They might appear to be a very diverse shop, but they really only focus on a couple of niches.
Create Your Competitive Plan
FIRST - did you determine that it's REAL competition? If so, then...
This is where you can make it a point to show off your strengths that your competition doesn't have.
"Can deliver shirts in 2 days"
"Top quality apparel that won't shrink after one wash"
"High-end art services included in the price"
"Full-color prints - print your dog, baby, or anything else on a shirt"
Be sure to repeat this process often and don't be intimidated. There will always be competition, but smart business people can always find a way to stand out. If you are ahead of them, you can always come out successful.