Many people spend countless hours researching and studying their successful competitors and attempt to do something similar to what they are doing. Research and analysis is important and much can be learned from studying others successes and failures, but spending too much time and focus in this way can result in a major branding failure. The first way this could affect you negatively is you could end up being forgettable. Blending in with everyone else may seem safe but becoming just another name among the masses is a sure way to limit yourself and stunt your possibilities for growth. This does not mean that you have to use a gimmick to stand out but, in this market, anything is better than playing it safe and becoming forgettable in every way.
Worse than blending in would be giving the impression that you are a company without its own unique vision. This could produce the opposite effect from what you hope to achieve by driving your customers to the brand you are attempting to imitate.
Instead of spending an inordinate amount of time focusing on others, take the time to focus on what you bring to the table. What is it that you do or offer that is different from everyone else? If you do not know who you are, find that out first or people will be confused. Be your own best critic. If you are not bringing anything new or offering something of greater value than your competitors you may be wasting your time. If you are bringing something new and of value, then that is what you want to show people. Don't spend your time trying to copy someone else. Be yourself and showcase that to your target market. Give them a reason to love you.