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It is much better to create your own market, than compete for an existing market.

Go where you will create full attention, not where you will compete for attention.

How do I do that?

W. Chan Kim, and Renee Mauborgne wrote about it and called it Blue Ocean Strategy

Blue ocean strategy is the simultaneous pursuit of differentiation and low cost to open up a new market space and create new demand. It is about creating and capturing uncontested market space, thereby making the competition irrelevant. It is based on the view that market boundaries and industry structure are not a given and can be reconstructed by the actions and beliefs of industry players.

Peter Thiel in his book Zero to One: Notes on Startups, or How to Build the Future, explains one of his contrarian [something that is contrary to popular belief] that the purpose of business is to create a monopoly and the way to do that is to go where there is no competition.

He says:

“Creative monopoly means new products that benefit everybody and sustainable profits for the creator. Competition means no profits for anybody, no meaningful differentiation, and a struggle for survival.” 

Clay Christensen, Efosa Ojomo and Karren Dillion in their recent book The Prosperity Paradox: How Innovation Can Lift Nations Out of Poverty, they talk about market creating innovations;

“Market-creating innovations crack open opportunities, and are inherently growth-focused because you’re creating new customers, new business models, pulling in new resources and so forth. Market-creating innovations are an engine for economic growth, both for companies and countries.”

New frontiers, at least frontiers that matters and worth chasing are in creating new markets.

 

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