Comment by phyzix5761
2 days ago
And that's how regulations work. The very companies targeted by regulations often design and push for them. By doing so they gain a competitive advantage, price out smaller rivals, and move closer to becoming a monopoly. Michael Porter, Harvard Business School professor, talks about this in his book Competitive Strategy.
The moat gets mighty large when the government regulators start making it bigger. That's one of the advantages that the Mag 7 has now - it's not just the scale but it's also the compliance burden for new entrants.