"These statements aren’t just true about the product — sure, they might have a crufty old VB6 app and you have the new Node.js hotness. They are equally true about the customer acquisition process. You’re competing with their business, not with their product, so you could possibly either focus your innovation on customer acquisition or, more likely, use innovation on both customer acquisition and product in a mutually supportive manner."<p>This is very true. You often have a more innovative product but the established competitor has a business. It makes sense to acknowledge this fact and work on it.