Are You Creating Barriers to Entry in Your Market?

Existing businesses understand that if they can make it hard for new rivals to set up shop, then these existing businesses can earn excess profits. So they'll do what they can to deter new rivals from opening up. Different firms will use different strategies, but there are four big ideas that they're all drawing on. The first set of strategieis to prevent new businesses from entering your market. Are cald demand side strategies, because they're all about focusing on your customers. One way to lock in your customers is to create switching costs which will make ithard for them to switch to buying from another business.