Business is largely a zero-sum game with your direct competitors.
But the only reason capitalism works is that it's a clearly positive-sum game overall. New competitors are mainly worth investing in because they figure out a way to create more value for customers. That in turn makes both customers and producers richer.
Silicon Valley does so well partly because there's a great culture of sharing information here. I agree with the main article: if you're raking it in and it isn't obvious, you shouldn't crow about it. But sharing techniques isn't a problem; money fountains like Google share open-source software and publish papers all the time.
You can't avoid fast-follow competitors by keeping your mouth shut; eventually people will notice your success no matter what you say. The best you can do is avoid it for a little bit.
It isn't even a zero-sum game with your direct competitors much of the time. For many software businesses, almost all of your marketshare will be stolen from competitors with names like "email" and "scribbling on pieces of paper." Similarly, for a small community newspaper, the biggest existential threat to your business is neither the other local papers nor any of the larger newspapers in the area — it's public apathy toward the whole product category. If you're in a market like that, and the other guys go out of business, that is not really good news for you.
For many businesses, "a rising tide lifts all boats" is the most accurate description of the field.
Compete easily with your direct competitors by "changing the game"
I guess the most understandable example (if maybe not 100% correct, and not even in the book) is Mac vs PC. If you want to compete in the PC market, it's a fierce competition. In the Mac market, there's only one seller (the Mac market is 'The Blue Ocean' created by Apple).
But the only reason capitalism works is that it's a clearly positive-sum game overall. New competitors are mainly worth investing in because they figure out a way to create more value for customers. That in turn makes both customers and producers richer.
Silicon Valley does so well partly because there's a great culture of sharing information here. I agree with the main article: if you're raking it in and it isn't obvious, you shouldn't crow about it. But sharing techniques isn't a problem; money fountains like Google share open-source software and publish papers all the time.
You can't avoid fast-follow competitors by keeping your mouth shut; eventually people will notice your success no matter what you say. The best you can do is avoid it for a little bit.