Strategic leaks of "comparable companies" to media outlets are a key tool for stealth startups to signal their direction. Analysts can reverse-engineer a company's strategy, target market, and talent focus by scrutinizing these chosen comps. This turns PR into a powerful source of competitive intelligence.

To prevent its suppliers from going bankrupt if contracts were cut, Apple mandated that no supplier could be more than 50% dependent on its business. This forced highly-trained manufacturers to find other customers, directly enabling the rise of sophisticated Chinese smartphone brands like Huawei and Xiaomi.

For new physical product companies, the best manufacturers are often too busy and risk-averse to work with newcomers. Conversely, factories that are overly eager for an unknown startup's business may have underlying quality or reliability issues.

While patents are important, a pharmaceutical giant's most durable competitive advantage is its ability to navigate complex global regulatory systems. This 'regulatory know-how' is a massive barrier to entry that startups cannot easily replicate, forcing them into acquisition by incumbents.

Major retailers often dislike when a single large company, like Zen in nicotine, dominates a category. This gives the incumbent too much leverage on pricing and placement. Consequently, retailers are often receptive to new, high-potential brands that can introduce competition and shift the power dynamic back in their favor.

When creating a new food category, you invest heavily in educating consumers. Tariq Farid warns that if you don't control sourcing and maintain healthy margins, a competitor can easily replicate your product, import it cheaply, and capitalize on the demand you built.

In environments plagued by counterfeits, like Nigeria's pharmaceutical market, product value isn't just about price or convenience. A core, defensible feature is guaranteeing authenticity. This requires solving complex supply chain and tracking problems, which in turn builds a critical moat against competitors.

The search for an initial manufacturer required contacting hundreds of potential suppliers. This quantifies the immense and often underestimated volume of outreach necessary for a new brand to find a partner willing to accommodate small, early-stage production runs.

To mitigate its own risk, Apple's "50% rule" required suppliers to find other customers. This policy forced them to share advanced manufacturing processes co-developed with Apple, directly enabling the rise of Chinese smartphone rivals like Xiaomi and Huawei.