Theory says you'll be run over by the next VC-funded Facebook in your market, and will have to subsist by being a niche business (better service or catering to

Theory says you'll be run over by the next VC-funded Facebook in your market, and will have to subsist by being a niche business (better service or catering to certain segments). So, either the next Facebook or lifestyle. Of course, real world is not perfect so there's space for medium-sized businesses, but they're not an economic optimum (they're leaving money on the table either way).