Scaling Advantage
In competitive moating, I’ve explained a simple truth that is often forgotten in tech:
One thing is a tech advantage, which is usually temporary; something else is a competitive moat, which is way more than tech, but it starts from there.
The tech side becomes the instrument to gain market shares via brand, distribution, and a vertical infrastructure able to sustain a larger and larger scaling advantage.
If we were to translate business competition into a sport made of “competitive moating,” that can be translated into the graphic below.
In other words, the more you can sustain scale, the more your business model is in tune to unlock the next phase of scale.
This is part of an Enterprise AI series to tackle many of the day-to-day challenges you might face as a professional, executive, founder, or investor in the current AI landscape.
