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Type I error:

Rejecting the null hypothesis when it is true.

Step-by-step explanation:

We are given the following in the question:

Claim:

At least 70% of its customers do not shop at any other sporting goods stores.

First, we design the null and the alternate hypothesis  

Type I  error:

Thus, for this scenario type I error would be rejecting the null hypothesis that the proportion of customers that do not shop at any other sporting goods stores is less than 0.7 provided it is true.

Interpretation:

Thus, it is the probability that the sporting good store thinks that atleast 70% of its customers do not shop at any other sporting goods stores but actually less than 70% of customers do not shop from other sporting goods stores.