> The reality is that most of them are so badly managed that competing against them is easy if you're actually competent.

The world is a graveyard littered with startups that thought this way. One of the consequences of wealth concentration and monopolies is that it is insufficient to be better than your competitors because your customers are also incompetent. To find product-market fit you not only have to be better, you have to be noticed by someone that cares that you're better and upon reflection confirms you solve a valuable problem.

By way of analogy, it's not enough to realize that MouseCorp makes shitty mousetraps and the local village spends $1M/yr on them. You can make a better mousetrap thinking its worth $1M/yr, or do the deeper look and realize the local village doesn't have a mouse problem but rather has a problem with too many feral cats, and has no interest in buying better mousetraps and once their attention is gained simply stops buying mousetraps altogether. Both parties lacked competence, but that didn't mean there was a market.