If you identify a structural weakness that can be exploited without huge gobs of cash, go for it. The only thing big guys can consistently do is outspend you.

If you identify a structural weakness that can be exploited without huge gobs of cash, go for it. The only thing big guys can consistently do is outspend you. Good weaknesses include new technology you can use faster than they, or a country/culture you understand better. If your competitor has good growth and features consider a fast-follow: matching them feature-for-feature but cheaper. Worst case you distract them and start a price war. Then you shift gears and start offering better features. If you don't think you can out-feature them, you are in the wrong business.