Competition is for losers; a race to the bottom. Monopoly companies stand to create (and maintain) lasting value for themselves. There are five monopoly characteristics:
Securing several of above elements assures the monopoly position further.
Many businesses subscribe to the idea of starting big, then shrinking. As for example a restaurant, operates in a colossal market filled with like-minded competitors vying for a share of the market. Big markets make it difficult for businesses to take off.
A company should embrace the opposite approach: start small, then monopolize. It’s far easier for a business to dominate a small market than a larger and more established market. Control over a small market can catapult a business into new areas and markets for expansion. For example, Amazon launched as an online bookstore, through selling at cost building float has transformed into a giant purveyor of ecommerce.