Dominate One Small Thing Before Growing

“This book’s intelligent fanatic CEOs first dominated a small market and then grew into larger markets. Another cause of failure among growing companies is simply growing too quickly, which can stretch a company’s capabilities, balance sheet, and/or culture too thin.”

“Intelligent fanatic CEOs create a well-oiled machine before pushing the accelerator to the floor.”

“Start Small and Monopolize Every startup is small at the start. Every monopoly dominates a large share of its market. Therefore, every startup should start with a very small market. Always err on the side of starting too small. The reason is simple: it’s easier to dominate a small market than a large one. If you think your initial market might be too big, it almost certainly is.”

“Paradoxically, then, network effects businesses must start with especially small markets.”