3 ms·
Competition but also low price of entrance/ability to enter. If raising capital for competitors is hard (see current financial situation) then even without a t
by di4na 4y ago
Competition but also low price of entrance/ability to enter.
If raising capital for competitors is hard (see current financial situation) then even without a trust, the competing entities benefit from raising price as the demand is captive.
Competition by itself is not a solution. You need new competition. The current state of financing a new entrant is what needs to be looked at.
- dtech 4y agoCapital has been incredibly cheap for a decade or so yet we've seen consolidation in most markets as opposed to increased competition, for a large parts because it was incredibly cheap to buy out your competitors, and it allowed blitzscaling practices. If capital is expensive, being a good business with profits becomes a competitive advantage again, so I expect more competitors in the long term.
- di4na 4y agoYes but only if the people that yield that capital understand that. Which. Is not a given rn.