[bluecalm]

That assumes infinite number of competent, driven and well funded market participants that jump on every opportunity or inefficiency .

The real world is anything but that. There is very small number of competent driven people and vast ocean of opportunity and value waiting to be created. If you deliver the value people will be more than happy to pay. Maybe someone competes with you if the field is ripe enough or maybe not if they choose another one. There is a lot of fruit out there and we are far far away from the point where people need to compete for the same one.

[insert_coin]

Have you seen the realstate market? Competition is all there is. The food market, probably the oldest market, is full of startups and more enter the space each year. There is no shortage of untapped competition in any industry.

[imtringued]

Unfortunately it's not possible to get major cities to work, at least not the Californian ones. The second best answer is to build more major cities. The irony of course is that the next major city won't be in California either.