You want to be a price-maker

You are a price-maker if you control the price of your goods, i.e.: the market cannot dictate your prices.

Price-makers can change their prices at a whim, ensuring they always make a profit.

This can only happen if you have monopoly on something.

Product excellence (Apple), patents (Amazon one-click shopping), network effects (Facebook) and brands (Coca Cola) are price-makers because of the monopolies they’ve created for themselves.

Electricity companies are price-makers because they have government-mandated monopolies.

As an entrepreneur you want to be a price-maker.

Chase a monopoly model.

Build the best product. Register a unique patent. Grow your own network effect. Create a powerful brand.

As a last resort, ask the government to give you a monopoly :-).

Do whatever it takes to gain a monopoly.

Once you have a monopoly, you are a price-maker.

Once you’re a price-maker, you will never worry about profit again.

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