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0 pointsnojvek6y ago0 comments

Not really. Suppose giant A undercuts startup B where A is making a temporary loss but B runs out of money trying to complete, only A remains in the market and A starts charging a premium since it doesn’t have completion.

This is bad for customers in the long term. Like how Amazon is slowly destroying brick and mortar stores, or having Amazon Basics at the front undercutting other sellers. Monopolies mean you don’t have an open fair market anymore.

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enaaem6y ago

It's true that benefits for customers would likely be only temporary. But that is not my main point.

I'm explaining a common business move called pay to play, in industries that require very high investments for new competitors. If customers want B to compete, they have to pay B first to ensure B does not make a loss, so everyone wins a little in the end.

So in the case of OP. He needs to finds paying customers first, who are willing to pre-order his service.

j / k navigate · click thread line to collapse

0 pointsnojvek6y ago0 comments

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enaaem6y ago

It's true that benefits for customers would likely be only temporary. But that is not my main point.

So in the case of OP. He needs to finds paying customers first, who are willing to pre-order his service.

j / k navigate · click thread line to collapse