03 · Entry barriers

Entry barriers: test the cost and time needed to enter

What must be established

A useful analysis leaves its controls visible.

  1. 01

    Name the affected activity and the actor controlling the condition.

  2. 02

    Estimate time, cost and uncertainty rather than using a generic label.

  3. 03

    Distinguish a barrier to entry from a barrier to scale or switching.

RESULT OBTAINED

A dated barrier map with mitigation options and stop conditions.

Decision checkpoint

Make the next choice explicit.

DECISION SUPPORTED

What must be overcome before the offer can reach and serve the market?

DELIVERABLE TO RETAIN

A dated barrier map with mitigation options and stop conditions.

NEXT ITEM TO INVESTIGATE

Value chainExplore

Set the decision boundary

Start with the route to market and the activity it requires: authorization, distribution, data, certification, installed base, reputation or a complementary asset. The same condition can block one option and be irrelevant to another.

  • Decision owner
  • Scope and horizon
  • Comparable alternatives

Make evidence and calculation inspectable

For each barrier, record its holder, mechanism, legal or commercial basis, evidence date and the capability or investment needed to respond. Missing evidence should reduce confidence, not disappear into a generic risk score.

  • Source and date
  • Unit and calculation
  • Known uncertainty

Keep a reopening rule

Compare mitigation, partnership, sequencing and non-entry. Reopen the assessment when regulation, an intermediary, a technology, a standard or the economics of switching change materially.

  • Material signal
  • Decision effect
  • Owner and review date

Application protocol

Turn the method into a reviewable decision record.

The page is complete only when another reviewer can reproduce the boundary, trace the evidence and understand what would change the conclusion.

Frame before measuring

Name the owner, decision, alternatives, unit, geography and horizon before collecting figures. This prevents a convenient source or familiar category from silently defining the problem.

  • Decision and owner
  • Comparable options
  • Unit, boundary and horizon

Separate observation from judgement

Record every observation with source, date, method and unit. Keep transformation rules, scores and weights apart from the evidence so that disagreement can target the right layer.

  • Observed evidence
  • Calculation convention
  • Assumption and confidence

Plan the reopening rule

State the signal, threshold, owner and review date that would reopen the choice. A robust conclusion is conditional and operational; it is not made permanent by a polished score.

  • Material signal
  • Decision threshold
  • Owner and review date

Resources

Reuse the method and check its foundations.

Continue with the diagnostic
01Explicit scope

Unit, horizon and boundaries are visible.

02Qualified evidence

Source, date, method and confidence are recorded.

03Sensitivity tested

Weights and assumptions that reverse the result are known.

04Review planned

Signal, threshold, date and owner are named.

Continue with the diagnostic

RETURN TO THE DECISION SYSTEM

See the canonical definition of marketing strategy