Competing to be 'the best' is a crowded, zero-sum game. A superior strategy is to find a niche where you can be the 'only' one doing what you do. Pursue the ideas that only you appreciate, because that is where you will face no competition and can create your most authentic and valuable work.

Unsexy markets like plumbing or law have less competition, higher profit margins, and customers who are more receptive to expertise. This creates an environment for faster growth, akin to driving on an empty road.

The owner of Canada's only real estate trade publication is delaying U.S. expansion. He's choosing to solidify his monopoly and become the 'big fish' in his home market rather than becoming a 'little fish' in the crowded U.S. market where his brand has no equity and he'd face established competitors.

Niching down allows you to dominate a small pond with less competition, enabling higher prices and faster learning. Once you're the "biggest guy in a puddle," you use your acquired skills and resources to graduate to a pond, then a lake, and finally the ocean.

Instead of popular but saturated local services, focus on high-value, overlooked niches. Examples include smart home automation, closet organization, and garage renovation. These markets often have fewer competitors and high-value customers, presenting a significant opportunity.

Instead of competing to be the best in a crowded field, find a unique niche or combination of skills where you have no substitutes. This is the key to long-term success, as demonstrated by the PayPal Mafia members who each carved out their own distinct paths.

Major metropolitan areas like NYC or LA are oversaturated. Growing 'Tier-2' cities have an influx of wealthy residents creating high demand for services, but often lack a sufficient supply of sophisticated providers. This creates a significant arbitrage opportunity for entrepreneurs leveraging modern marketing and AI.

To challenge an incumbent with massive network effects, Dara Khosrowshahi suggests startups shouldn't attack head-on. Instead, they should find a niche, like a smaller city or a specific service (e.g., two-wheelers), build concentrated local liquidity there, and then replicate that model city-by-city.

Don't fear competitive "red oceans"; they signal huge demand. The winning strategy is to start in an artificially constrained niche (a puddle) where you can dominate. Once you're the biggest fish there, sequentially expand your market to a pond, then a lake, and finally the ocean.