Answer:
Firstly, he would have to research what price the competitors are charging, the cleaning products they are using and, if possible, what kind of cleaning method their cleaners are using. With that in mind, we would compare to his cost and know if his service is cheaper or more expensive than the market average. To minimize costs he could, for example, buy cheaper cleaning products or researching cleaning methods that use fewer chemicals. To differentiate himself, gaining a competitive edge in this market, he could offer as well a service of doing groceries for the house, giving that the majority of consumers that hire cleaning services work all the time and don’t have time to go to the market. Or he could advertise that he uses eco-friendly cleaning products, showing that his business cares about the environment.