Scarce property
What is Scarce property?
Ownership controls economically valuable locations or inputs.
How Scarce property works
Compare the cost and performance of the next-best available site or input. Include acquisition cost and ongoing scarcity rents before attributing superior returns to ownership.
The question to ask of a company
What substitute sites or inputs exist, and how much of the benefit was already paid to the seller?
Examples
- Illustrative scenario: A cold-storage facility occupies the only available plot beside a busy port.
Who names it
| Author | What they call it / where it appears |
|---|---|
| Neumann | A Taxonomy of Moats — Scarce property |
Note. The diagnostic and scenario are Strategy Canon’s analytical application. Test the firm’s benefit and exclusion mechanism separately; this category alone does not establish Power.