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> Barriers to entry are a good thing for incumbents and for the market leader. There was a time long long ago where it was also considered a good thing for sta

• tptacek 14y ago
  There is a kind of startup that comes pre-packaged with a solution for some perceived barrier to entry. For instance, your team could include a world expert on some heretofore intractable problem in your startup's problem space. Or, you could be the first mover in a market with significant network effects, and you could be raising when you already have significant traction. In these cases, barriers to entry are a good thing. In other words: the barriers to entry behind you are defenses for your success. The barriers to entry ahead of you are obstacles to your success. No part of this has changed since the 1990s.
  • jpdoctor 14y ago
    > The barriers to entry ahead of you are obstacles to your success. If you choose it right, they are obstacles to everyone's success, which is kind of the point. A well-funded company that can make a biz work with lower-margins and inventory costs will likely not be competing with bootstrapped (for example) companies. Edit: pg is more pithy below - Barriers to entry are good for those who can overcome them.