Considering starting up

[engrstephens]

I'm graudating with my masters in Electrical Engineering this semester and am looking to start my own business. I plan on working in the field for a few more years before I go back and get my phd, and thought I could try and support myself through grad school by starting a kit company.

1st question: Whats the state of the industry. Is it doing well is there room for "competitors".
2nd question: Whats the risk of developing open hardware. Is it common to get beat out by another supplier with better prices and use your support forums as their support.
3rd question: Is it fun. I'm growing fed up with the fact that my degree is not taking me in "fun" directions. I have been a tinkerer and a hobbiest for years. I enjoy finding the cheapest and easiest way to find parts and love helping people put stuff together. I'm hoping that by starting my own business (which would eventually be my only job) I can keep it real and keep it fun.
4th. How long do you keep things "under wraps" if at all. I've got some prety good kit ideas. I imagine its best to keep things under wraps until I'm ready to start shipping. Does first to market really matter. Do people actually try and "steal the thunder"?

Anyways, I was super excited to find this forum. Thanks for any and all help!

[madworm_de]

Speaking as a happy customer of Adafruit:

@2: Just like here, don't offer 'official' email/forum support for kits bought from somebody else. Literally none of your business. If you run a forum (and you should), maybe some of your users will give pointers though. But that would be a normal discussion I guess. If people buy stuff elsewhere, they might as well RTFM on the other site.

@4: I buy stuff where I feel 'at home'. I don't buy bare chips or headers here, because I can get them locally and much cheaper too, but I don't think Adafruit as a business is based on selling individual integrated circuits. That would be a lost battle. These are an added bonus for starters I think, unless they are rare parts. What I absolutely hate is stuff that doesn't work and support that isn't worth calling it that way. So make sure to only sell a product that actually works and is well documented. If you're 2nd on the market with a virtually identical product, you can only compete by selling considerably cheaper or by having other attractive things in your shop, so people might buy other stuff to save shipping costs.

It's not easy. Also please note that once you've seriously disappointed/pissed off a customer he's gone. I regularly avoid shops I hate for various reasons, although that costs me quite some money.