Whether you choose a "bell-shaped" or "knife-shaped" industry when starting a business depends on an individual's goals, resources, and risk tolerance.
"Bell-shaped" industries refer to those industries with large market sizes, large number of participants, and fierce competition. These industries have a relatively low barrier to entry, thus attracting a large number of entrepreneurs and businesses to participate. However, due to the high level of competition, the chances of success are relatively small. In the bell industry, companies need to have unique advantages and innovation capabilities to stand out from the competition.
"Sharp" industries refer to those that are smaller in size but more profitable. These industries usually require a high level of technology and expertise, so the barrier to entry is relatively high. However, since the market is smaller and there is relatively little competition, the chances of success are relatively high. In the sharp knife industry, companies need to have professional technical capabilities and market insight to gain a foothold in the market.
Which industry to choose depends on the individual's goals and resources. If an individual has a large market and resource advantage, he can choose the bell-shaped industry and achieve success through scale effect and resource integration. If an individual has professional technical capabilities and market insight, they can choose a sharp knife industry to gain a competitive advantage through technical advantages and expertise.
In conclusion, which industry to choose needs to be decided according to the individual's actual situation and goals. No matter which industry you choose, you need to have the ability to innovate and market insight to succeed in a competitive market.
I learned two words Xi today.