The passivity of your analogy doesn't apply. If you're concerned about exposure, then avoid doing business with risky firms. It's entirely possible that a sma

The passivity of your analogy doesn't apply. If you're concerned about exposure, then avoid doing business with risky firms. It's entirely possible that a smaller firm is more risky than a larger firm; it's the risk that you choose to take on that matters, not some arbitrary measure of "bigness". But let's set that aside: if many people think "big" firms are more risky on that basis alone, and they choose to avoid them, then smaller firms will emerge from the market process.