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I think that most startups that try to compete with Craigslist fail in their strategy.

I was lucky to have professor Jakki Mohr as a teacher, and she advocated the "bowling alley" strategy:

http://wisepreneur.com/innovation-marketing-2/innovation-mar...

As the article states, and lesterman shows below, there are several startups that succeeded in beating Cragislist.. but they all did so by focusing on a specific niche.




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