Competitive Differentiation

The third force that acts on prospective buyers is that of the competitive solution. This might be something that is already in place that the buyer is using or it could be a direct competitor offering something with a high or low degree of competitive differentiation.

Beating the Competition

Even if there are strong triggers that are acting on people to get them to innovate and low barriers from hindering them, you must be substantially better than your competitors to get buyers to choose you.

Sure you can build a company where everyone is doing the same thing. To be competitive then you’ll need to be better at execution or better at selling. Those types of businesses though don’t have the potential as ones that are doing something radically different.