Instead of copying what top competitors do well, analyze what they do poorly or neglect. Excelling in those specific areas creates a powerful differentiator. This is how Eleven Madison Park focused on rivals' bad coffee service to become the world's #1 restaurant.

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.

Stop comparing your business metrics to industry averages. Since the average business is often struggling, aiming for average is a recipe for mediocrity. Winners are, by definition, outliers who reject average as their standard and build from first principles.

Small business owners often compare their margins to industry standards like 10%. These benchmarks are based on large corporations with massive overhead. Online businesses, especially those selling digital products or services, should aim for significantly higher margins and not use irrelevant comparisons.

Innovation requires stepping away from the tools and standards everyone else uses, as Nike co-founder Bill Bowerman did with an early movie camera. This path is often lonely, as you may operate on your own before others understand your vision. You must be comfortable with this isolation to create breakthroughs.

The fundamental goal is to become a "better competitive alternative" for a specific customer—being so superior that they bypass competitors to choose you. Achieving this state is the business equivalent of the house advantage in a casino (“the house vig”) and the only reliable way to build a lasting enterprise.

Successful leaders often question conventions and consider that "everyone else might be wrong." Arbitrarily doing the opposite of established industry practices can unlock new ways of working and create a unique edge for your team.

Competing to be the 'best' places you on a crowded leaderboard defined by others. Instead, focus on creating a unique category, skill set, or niche where you are the 'only' one who does what you do. This strategic move sidesteps direct competition and creates a powerful, uncontested space.

When setting audacious goals, the question isn't "Has anyone done this?" but rather "What physical law prevents this?" This first-principles approach reframes seemingly impossible challenges into solvable engineering problems. Competitors' belief in precedent is a mental handicap you can exploit.