Lee, Georgallis & Struben, 2022 - Matrix of Different Kinds of Markets - Incremental

4 important questions on Lee, Georgallis & Struben, 2022 - Matrix of Different Kinds of Markets - Incremental

What does the market look like in Q1?

Low supply uncertainty and low demand uncertainty, essentially existing markets and advances in energy efficient appliances or environmental services.

Although these markets already exist, and thus have existing infrastructures and solutions, what is the but?

They are under-utilised.

As these markets are existing they are easy to enter but what problems do entrepreneurs face here? List the 3

  1. Face competition with incumbents
    1. existing offerings
    2. use market power to outcompete entrepreneurs
  2. Limited growth/market share
  3. No or few collective action problems
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Why are there no collective action problems in this market?

Because it is already established and they do not need to engage to work together to change the market.

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