Facebook Was a Better Bet at $15 than $1 per Share

It can make good sense to be a bit late and pay a higher price for high growth businesses – particularly those with very large target market, in the early stages of product or service adoption, and where there is likely to be only one or two winners. Facebook is a good example. After a certain point of user adoption, it became highly improbable a competitor could successfully displace Facebook as the preeminent social media platform. This was not true earlier in its existence.