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Is there any evidence to support this? The value I see generated by small businesses and entrepreneurs has more to do with market incentives, not innovation. I'
by rbranson 15y ago
Is there any evidence to support this? The value I see generated by small businesses and entrepreneurs has more to do with market incentives, not innovation. I'm seeing them mostly create wealth by offering different mixes of price, quality, and packaging, but mostly built on existing innovation that has already been commercially applied.
37Signals, for instance, didn't really innovate. They didn't invent groupware or were nowhere near the first to commercially apply it. They simply built a product with the right levels of price, quality, and packaging that hit the right spot for a large number of people. This isn't as much innovation as it is market savvy and competitiveness.
This isn't to say that they aren't very important though, quite the contrary. Small businesses create vast amounts of wealth, and more often directly reward those who are responsible for it, rather than further lining the pockets of the super rich or bureaucrats.