> But you were never going to put Heathkit or Zenith or any of these other companies out of business with your side markets. You could never compete even if you wanted to.
That is the ex-post perspective: Those businesses that never became big weren't the ones that put the big companies out of business. And that is what you label "your side market" now. That doesn't mean other companies that ended up as serious competitors and that you wouldn't think of as "your side market" now didn't use such things to get started.
Also, even if you in fact couldn't put them out of business, that does not mean you didn't have a major influence on them. If small repair businesses around the country can upgrade your cheap TV model to a premium device for 50 bucks, that limits what you can charge for the premium model. Even if people are willing to pay a premium of 500 bucks, you won't be able to charge that. You may be able to charge more than the 50 bucks for convenience, but the mere fact that those repair shops exist prevents you from charging your customers as much as you otherwise would.
That is the ex-post perspective: Those businesses that never became big weren't the ones that put the big companies out of business. And that is what you label "your side market" now. That doesn't mean other companies that ended up as serious competitors and that you wouldn't think of as "your side market" now didn't use such things to get started.
Also, even if you in fact couldn't put them out of business, that does not mean you didn't have a major influence on them. If small repair businesses around the country can upgrade your cheap TV model to a premium device for 50 bucks, that limits what you can charge for the premium model. Even if people are willing to pay a premium of 500 bucks, you won't be able to charge that. You may be able to charge more than the 50 bucks for convenience, but the mere fact that those repair shops exist prevents you from charging your customers as much as you otherwise would.