The 3 steps to building a monopoly, according to Peter Thiel

The following is an edited excerpt from Peter Thiel’s Zero To One: Notes on Startups, or How to Build the Future. The excerpt was provided by Currency Publishing. You can buy a copy here.

Brand, scale, network effects, and technology in some combination define a monopoly; but to get them to work, you need to choose your market carefully and expand deliberately.

Start small and monopolize

Every startup is small at the start. Every monopoly dominates a large share of its market. Therefore, every startup should start with a very small market. Always err on the side of starting too small. The reason is simple: it’s easier to dominate a small market than a large one.

https://www.techinasia.com/3-steps-building-monopoly-peter-thiel

 

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