Barriers to Entry

Noun · Startup & VC

Definitions

  1. The obstacles that make it hard for new competitors to enter a market, such as regulation, capital needs, network effects, data, or switching costs. Strong barriers can protect incumbents or justify investment.

    In plain English: The things that make it hard for new competitors to enter a market.

    Example: "Without real barriers to entry, a good demo alone is not a moat."

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