My First Million
The best business ideas come from noticing what's working and doing it better, faster, or for a different audience.
Brand as Moat Strategy
Using brand power as a primary competitive moat instead of technology or network effects, particularly effective in luxury goods where perception drives value.
How It Works
Brand creates customer desire and willingness to pay premium prices that compound over time, becoming stronger with age and exclusivity rather than weaker.
Components
Identify products where desire can be created beyond functional need
Build heritage and story that improves with time
Maintain exclusivity while scaling operations
Combine brand vision with operational excellence
Price for luxury margins (75%+ gross margins)
When to Use
Industries where status, craftsmanship, or heritage matter more than functional utility. Works best with products that can maintain exclusivity while scaling.
When Not to Use
Commodity markets, pure utility products, or industries where technology advantages can easily obsolete brand value.
Anti-Patterns to Avoid
Example
“Louis Vuitton founded in 1854 maintains relevance and premium pricing because the brand becomes more valuable over time, unlike technology products that depreciate.”