Loup Ventures managing partner Gene Munster noted that the big companies are effective at so-called incremental evolution, which makes it “harder than ever for new challengers.” As NYT explains, they’re able to “skillfully move into new markets with lower prices and more money for marketing than their new competitors … [and] in time, they take over.”
The result, according to a study by University of Arizona finance professor Kathleen Kahle and Ohio State University economist René Stulz, is that “in 1975, the top 100 public companies snared about 49 percent of the earnings of all public companies … by 2015, that share had jumped to 84 percent.” “There are a lot of small, unprofitable firms and a handful of large, very profitable ones,” said Kahle.
See the full story here: https://www.etcentric.org/dominance-of-top-big-tech-companies-continues-to-grow/