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I always figured this was one of the "grey" advantages startups have. For a very short time, a startup has so few assets that an entire class of risks exist tha

I always figured this was one of the "grey" advantages startups have. For a very short time, a startup has so few assets that an entire class of risks exist that will simply put it out of business. When you're brand new, it doesn't matter if you damage a Honda or a Ferrari, either way, you're done. This gives you a slightly evil and transient advantage that let's you temporarily undercut the established players by just ignoring those risks altogether.

sopooneo 14y ago
But couldn't knowledge of this fact by your potential customers make them wary of giving you much business, thus canceling out your advantage?
- stickfigure 14y ago
  Yes and yes, but not necessarily. Customers do not have perfect information about the market, and especially not about the inner workings of your company.