Part 13 of 15 in Rules for Game-Changing Entrepreneurs← Part 12Part 14 →
This chapter explains how businesses can create lasting value on open rails by building habits, proprietary workflow data, personalization, or network effects. It helps entrepreneurs understand how merchant networks, additional services, and owned progress data can raise switching costs.
- Open rails are powerful, but pure commodities tend to be competed away.
- Habit, proprietary workflow data, personalization, and network effects can raise switching costs.
- PhonePe and Google Pay compete on UPI while creating value through merchant networks and additional services.
- Deep AI personalization and owned progress data can create similar pipes in education and other domains.
Open rails are powerful, but pure commodities get competed away. Build habit, proprietary workflow data, personalization, or network effects that raise switching costs. PhonePe and Google Pay compete on UPI yet hold value through merchant networks and additional services. Deep AI personalization and owned progress data create similar pipes in education and other domains.
Frequently asked questions
How can a business create scarcity on open rails?
A business can build habit, proprietary workflow data, personalization, or network effects that raise switching costs.
Why do pure commodities get competed away?
Open rails are powerful, but pure commodities get competed away.
How do PhonePe and Google Pay hold value while competing on UPI?
They hold value through merchant networks and additional services.
How can AI personalization create value in education?
Deep AI personalization and owned progress data can create similar pipes in education and other domains.