Comment by tristor
2 hours ago
> The reality is that most of them are so badly managed that competing against them is easy if you're actually competent.
The world is a graveyard littered with startups that thought this way. One of the consequences of wealth concentration and monopolies is that it is insufficient to be better than your competitors because your customers are also incompetent. To find product-market fit you not only have to be better, you have to be noticed by someone that cares that you're better and upon reflection confirms you solve a valuable problem.
By way of analogy, it's not enough to realize that MouseCorp makes shitty mousetraps and the local village spends $1M/yr on them. You can make a better mousetrap thinking its worth $1M/yr, or do the deeper look and realize the local village doesn't have a mouse problem but rather has a problem with too many feral cats, and has no interest in buying better mousetraps and once their attention is gained simply stops buying mousetraps altogether. Both parties lacked competence, but that didn't mean there was a market.
Right, so don't waste time trying to sell low-margin products to local governments. As the saying goes: it's like trying to shear a pig, too much squealing and not enough wool.
> The world is a graveyard littered with startups that thought this way. One of the consequences of wealth concentration and monopolies is that it is insufficient to be better than your competitors because your customers are also incompetent.
It's less that and more that governments and bureaucrats are corrupted to create barriers tot the market and to turn a blind eye to anti competitive behavior and outright illegal practices. For example huge banking corporations have been caught laundering money for drug cartels and got away with fines -- if your fintech startup tried that on, you would never see the outside of a prison cell.