Market Timing · Early and late · Component
The late cost
What displacing an established position would take — considerably more than reaching an empty market.
The deliverable
What it is
Arriving late means competing against an incumbent with customers, a track record and switching costs on their side. It is expensive and it is survivable.
The late entrant’s advantage is a market that has been educated by someone else, which is worth more than it is usually credited.
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What it is made of
Each element is a constituent part of the component. Follow one to see the attributes it carries.
The requirement
How much better a late entrant has to be.
3 attributes: Required advantage · On what dimension · Achievable
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The late entrant gets an educated market they did not pay to educate. That is worth more than it is credited.
The other components in early and late
The early cost
What entering before the market is ready would consume — usually cash, for longer than anyone plans.
LearnThe advantage test
Whether being first actually confers anything here — because first-mover advantage holds under specific conditions and is assumed generally.
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