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Perforce has played this game very well by setting up their own category called "fast source control tools".  Speed is their differentiator, and they seem to be having a nice measure of success with this approach.

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Don't think of MacOS as the number two desktop computing platform.  Instead, think of them as the number one desktop computer in the graphic design category.  The difference highlights the category in which Apple is number one.

Note that I am fully aware of the relative size of these two categories.  Microsoft is number one in a category which is many times the size of the category in which Apple is number one.  Finding a category in which Apple is number one is not an effort to claim equality.  Rather, it simply explains who buys Macintosh and what differentiator is important to them.

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But do make sure there are enough of those people.  Every difference defines a category, but not every category matters.  For example, suppose you want to create the number one IDE for programmers who develop enterprise accounting software in Forth.  I daresay you won't encounter much opposition in your effort to win this category.  However, you won't encounter much revenue there either.

Understanding categories has been critical for SourceGear as we do business in the source control market.  People sometimes ask us how we can possibly sell source control tools when CVS is free.  The reason is that "open source" is merely one category in the source control space.  This market has quite a few categories, and the competition across those categories is minimal.  If the customer wants a workflow-based tool, they only look at the tools in that category.  If cross-platform support is critical, the customer isn't paying much attention to the Windows-centric products.

Car insurance policies in Canada include those that are public as well as private. Public auto insurance Alberta policies are those that are owned and operated by the Canadian government. They are only offered in the provinces of Manitoba, British Columbia, Saskatchewan, and Quebec. The premiums that are charged by these public companies are lower in these provinces than those that are charged for drivers who have private insurance. But if the public form of car insurance policies do not appeal to everyone, drivers also have the option of purchasing their policies from the many private companies.

The inexperienced driver may be penalized in two ways when they purchase Texas auto insurance. The first is for only having been a licensed driver for less than three years. The other reason is because they have never bought insurance before. These two reasons give insurance companies the license to charge new drivers higher premiums.
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