As the cost of starting a company continues to decrease, I wonder if we’ll see startups getting so competitive that it will be hard for any to grow to a significant value.
The “science of entrepreneurship” is being advanced and widely disseminated so there very rarely are unique “ideas.” It seems like every time I hear about an awesome early stage company, I find a bunch more doing the same thing.
Often times when a startup starts to get some traction you hear about companies exactly cloning it. It seems especially common for the clones to be overseas, where the american companies may not have as much of a foothold.
Funding may not actually be as acute of a need as people think – it’s that it needs be spent in different ways – it needs to be spent on distributing quickly to obtain a foothold and competitive advantage.