A big company just launched your very same product/feature. What to do?

It happened to me a couple of times but I always see an opportunity when this happens.
First of all, it means you were in the right direction. That company had probably way more research firepower and they ended up at the same point.

Now...

Is your product better, in any way?
Well, you can leverage that, saying "XYZ did this...we improved it".

If their product is better, try to understand why.
Is it a lack of knowledge, time or budget? If something's different, why they did take this different approach?

Can you offer a lower price or better integration with other software?

Maybe you can build on top of it and improve it therefore leveraging their superior market share to your advantage?

I always mark this events as a positive sign, it gives me confidence and validates my way of thinking more than the outcome itself but I'm curious how other hackers react to such events.

Cheers!