I am working on a new idea and is in development process, it´s a copy of an exisiting product which is already launched by a big CRM and a newly funded startup .<p>i saw their pricing and thought they are too expensive and charging their customers a lot where I can provide some of their features for free .<p>Is it ethically correct to copy someone´s idea and develop it and compete just on price point ?
Sure. Think about how this works outside of the internet. The fact that we have multiple grocery stores, clothing stores, hardware stores, etc means that someone is copying someone else's idea. There is this mythology in certain corners of the startup community around ideas-- all you need is a great idea, you should keep your idea secret, etc. The truth is every company is copied and most "new" ideas are just combinations of two or more existing ideas.<p>So go for it. The question is really whether your market intuition is right and customers are really looking for a cheaper, simpler execution of this idea.
I think it depends. Copying explicitly is totally not nice but, in the end most startups(or any new idea) is just an improvement of an old idea. So, if you can make it better, you might be fine. But remember that usually you will get only a smaller portion of their business, even if you make it cheaper.
Yes, besides, what gives anyone the right over an idea, simply because they developed it first? It's not the first time that whilst brainstorming with other people we develop a few startup ideas only to find that they are already implemented on some random website that we have never been near.
Just watch out for hidden costs like marketing and customer service. Software development is only a small part of a business even a technology business. Also, there are alot of open source product out already that might do what your looking for. Large enterprise businesses pay for service offerings not software by itself. Small companies expect the world and fight over every penny because they are usually cash strapped. They are also very hard to market to and reach for the little money they're willing to pay. Viral market is hard for businesses because they don't general share with competitors. I'm not saying don't move ahead with your project but you should address these issues.
I essentially did just that, for BugMuncher (<a href="http://bugmuncher.com" rel="nofollow">http://bugmuncher.com</a>) I took the idea wholesale from Google's feedback tool. As is the mantra around here, ideas are worthless, it's all in the execution.
Perfectly, especially in this case as there are hundreds of CRM's available. In other cases I'd probably say the same, only that it's sometimes hard to be passionate about a clone. Make sure you're in it because you want to improve where someone else failed and not because you think it could be a money maker.