Friday, January 9, 2015

Startup Business Size and Predators

Organisms focus on producing offspring that are larger in size, yet fewer in number, in  habitats where there are high risks of predators on the offspring and also where there is high competition among the same organism for available resources in such habitat. In contrast, organisms living in habitats that lack predators, or lack a high risk of predation, and do not have high competition produce a larger number of offspring that are smaller in size.

By the same token, businesses that are created in a highly competitive market must be born large in size or else they will not be able to survive. A business that is born in a marketplace where there are a lot of 'predators' would not stand a chance of surviving either. In contrast, in a low-competition market, a business that is born small might still be able to survive and flourish.