alt Hacker NewsNike is a useful test case (1) here. Brand was the whole competitive moat for them and once athletic gear commoditized, then management spent five years cutting the things that sustain it: athlete relationships, premium positioning, product development. Each cut looked (somewhat) rational on its own but none of them were, taken together.
(1) https://philippdubach.com/posts/nikes-crisis-and-the-economi...
EDIT: Nevermind comments are apparently just a pg meta discussion..
Replies
stackghost • yesterday at 7:08 PM
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The question is, in this new software world order, how much do brands matter vs what they've done vs network effects. I could have Claude code shit out a Facebook or Twitter clone, or an Uber clone, and have none of the baggage of Cambridge Analytica, being owned by Elon Musk, or Travis kalanick of Greyball and S. Fowler legacy. An Uber driver-turned-dev could easily stand up a competitor and give way more money to the drivers simply by not having the overhead that Uber has with lawyers and executive salaries in this age of ChatGPT. Drivers will go to where there's riders and money, and riders will go to where there's drivers and cheaper rides. (and no drivers.) If someone needs an app idea to work on, it's the incumbents, without the suck. Facebook without "People just submitted it. I don't know why. They 'trust me'. Dumb fucks."
Because looking at Truth Social and Gab, people do adopt brands as part of their identity; and Uber but for drivers, or Facebook, without the spying, are trivial to make the software side of things on now. The fact that we haven't seen a dozen Uber competitors spring up is a testament to the fact that branding is a helluva moat. It's impossible to put a dollar value on it, but ChatGPT has no moat, except that it's Chat-fucking-GPT. The original chatbot and no matter how good Claude gets, it'll never be the original.