Competition in business should be viewed as a validation of market demand rather than a threat. Founders, operators, and CFOs are encouraged to acknowledge the benefits of competition, differentiate their offerings without disparaging others, and maintain a focus on their unique strengths to succeed in a competitive landscape. Emphasizing collaboration over animosity can also create strategic advantages in the long run.

Competing on price can lead to a race to the bottom, harming both companies and customers, especially when products are similar. Successful low-price strategies, like those employed by Costco and Southwest Airlines, arise from unique operational decisions that create value, rather than a mere tactic to undercut competitors. Ultimately, businesses should focus on differentiation and value creation instead of solely relying on pricing to attract customers.