If You Can Differentiate, You Have a Competitive Monopoly

In the article, The Strategy Accelerator, Alfred Griffioen shares his thoughts on competitive monopoly and how the only way outperform your competitors is through differentiation.

Griffioen writes:

“The question "how to be successful in the market" is among the most relevant for business economics, but only a few researchers and authors have formulated directive rather than descriptive answers. A better direction can be found in basic economy researchers: if you can differentiate yourself from the competitors, you have a sort of monopoly. In a monopoly you can choose your own price and quantity optimum on the demand curve. As soon as you encounter competitors, the power shifts to the customer: the price is set by the market and you can only follow. The only way outperform your competitors is through differentiation.”

I think Griffioen raises some good points and the best way to differentiate is by building a better brand for whoever you serve.