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  • Writer's pictureFr3deR1cK



In theories of competition in economicsbarriers to entry, also known as barrier to entry, are obstacles that make it difficult to enter a given market. The term can refer to hindrances a firm faces in trying to enter a market or industry - such as government regulation, or a large, established firm taking advantage of economies of scale - or those an individual faces in trying to gain entrance to a profession - such as education or licensing requirements.

Because barriers to entry protect incumbent firms and restrict competition in a market, they can contribute to distortionary prices. The existence of monopolies or market power is often aided by barriers to entry.

Barriers To Entry in Life:

To be valued as a commodity you must have a portfolio that reflects that your barriers to entry are high. Thats just how it works. The system holds you back. If you overcome the obstacles you get a shot. Movers, shakers and key influencers make this valued judgement about you before they commit. Without it they circle you like vultures waiting for a piece of you they can pick off and call their own. They don’t want to go to party that just anybody can get into. If it looks easy it must not be real or sustainable. Is this a truism? No but it is the way people think.

For example in the world of stocks LinkedIN is a more valued stock than Groupon. Why? LinkedIN had barriers to entry. It competes with Facebook for market share. Groupon had no competition in getting into the market. No barrier with consumer interest to overcome. Investors invest in LinkedIN not Groupon. Their feeling is that Groupon is a trend and LinkedIN is a potential standard. Don’t believe in this just look at the histories of Myspace and Facebook. Myspace had no carries to entry. It was the first kid on the block. Facebook had to compete with Myspace to succeed. The rest is history. Learning from others mistakes may be the true key to success. Learning from your own may just be overrated.

Right or wrong success in life works the same way. People love a great story.

“She was the wife of an abusive husband and she overcame a dysfunctional household and is now a big time executive.

"He grew up in the projects selling drugs and now he runs a successful company.”

“He was born with one leg and he runs marathons.”

Generally the person who has it all and gets more is overlooked. Unless however they make it super big.

Donald Trump: Son of a real estate mogul.

Ted Turner: Son of a billboard tycoon.

John F. Kennedy: Son of a politician and millionaire moonshiner.

Barriers of entry untimely, mythology and perception.

Aretha Franklin: Daughter of a pastor. Grew up with a good solid middle class life. Perception of the era gave her a barrier of entry. She was black from Detroit and that was enough for the general market.

Martin Luther King Jr.: Son of a pastor. He lived on the richest street in Atlanta for blacks. He was a kid who had it all, but because of his era was perceived as an underdog and got the benefit of the doubt.

Jay-Z: He is legend because he once sold drugs and no runs a multi-million dollar operation.

Justin Bieber: Raised by a single mom with a drug addicted father. Put his music on You Tube and becomes a pop sensation. Are there other young singers with more talent? Yes, how many have his back story and are white singing black music.

Jeremy Lin: The New York Knicks back court sensation is the first high profile Asian-American to become a media darling. People love the fact he has come a tough stereotypical road to success more than his skill set.

J-Lo: A poor kid from the block in New York City.

Image is everything and a good backstory is king. This is why being yourself is important. That being said you must also be careful. Sometimes who you really are can work against you.

For example:

Lets say you are a minority from a middle class setting. You can be wildly talented but people just don’t take you seriously. You are losing out in credibility to other minorities who are coming from backgrounds that are more challenged on a survival level. Why? People think you already have it all. You walk the walk and talk the talk so they think you do not need help. If anything you may be perceived ironically as a threat. Some people (conservative and liberal) have a problem with people being equal to them. Yes they will give money to Africa or stay out of your way but they only like you if you are little less and more needy than them. You are on their time.

How do you combat this? Awareness. For those that are worthy you must make them aware of your unique struggle. Maybe you did not grow up in the ghetto but you have had other obstacles and barriers to entry, i.e.: institutionalized bias, being the first minority or people who just won’t take you seriously. Strange as it may seem, the people that are holding you down just may be your greatest barriers to entry. Some of these people may even call you their friend or say they like you.

These barriers do build character. They can make you more resilient and special. If you can survive them you can survive anything. Just be wary you don’t want people to try and steal your unique power.

Another example:

You are the girl who grew up seemingly with it all (no one does, no matter how rich). People always called you daddy’s little girl. You are pretty and your hair is long. People have put you in the cheerleader box and won’t let you out. You want to be a doctor but the world looks at you and says, “Yeah right.” What do you do? Do you cut your hair and wear less makeup to get street cred? No! You shake what your mama gave ya and you make it known that you have obstacles like everybody. You let your light shine and let your story be told.

What does all of this transparency to your barriers create with people? It creates a solid paradigm of reality. Those that get stand get you join your team. Those that don’t call you weird and run away. Be proud of who you are. If someone treats you the wrong way because of the way you are, acknowledge it for what it is. Don’t sugar coat it as and example of the other person has a insecurity or you lie to yourself and say it does not hurt. All insults hurt always. The only insult that does not hurt is the one that you don’t give. When unjustly hurt fire back!

Blow the doors off with it. “That person does not like me because I am different,” or “That person has a problem with me because I pose a threat to their world.” If this makes some people back away from you then life is doing you a favor. I guarantee every person that ever steps out of your life was never going to do anything for your life in the first place. “You can book that!” Or I guess these days you say, “Upload that!”

Ice T, Ice Cube P. Diddy, Dr. Dre’ and many other rappers throughout the past 40 years have been middle class people who created an alter ego and persona to succeed. As a result few have had sustainability. It is problematic to live your life as someone else.

Reality = Sustainability

“Keepin’ it real,” has been the battle cry of Hip Hop since the late 80’s and the emergence of gangsta rap. Gangsta rappers unlike early 80’s rappers and early 90’s and underground rappers had to essentially proclaim their value to be valued. Gangsta rap just may be the Groupon of Hip Hop.

“Me thinks he doth protest too much.”

-William Shakespeare - Hamlet

Whitney Houston is dead not because she was addicted to drugs. Houston may have passed because all she really wanted to do was sing gospel and sing in her mothers cabaret group.

Michael Jackson may be gone because the only thing he really wanted to do was make music and make people happy (including his family). If you want to make your father happy and you never live up to his expectations you are riding on a slippery slope. Joe Jackson’s barriers to entry were too high and Michael never got off the ride.

We can keep going; Amy Winehouse, Tupac Shakur, Jim Morrison, Janis Joplin, Sam Cooke, John F. Kennedy Jr. This list could go on and on of people who avoided their barriers of entry, crashed and burned. There are countless others who have never made it because they could not embrace who they really are. You must accept the challenges in life and embrace them. Fair or not. By doing so you strengthen your spiritual core.

The greatest moment of your life is the one you are living right now.

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