I have to disagree.
If this was the case, why the hell is eBay still the top selling site. They have more "mistakes" than you can shake a stick at, but there is still zero competition.
So I think steemit will be totally fine and hopefully make right the power balance.
I think this happens because the market is inefficient, especially in the short term. Momentum gives a lot of advantage for a number of reasons, and a lot of businesses fail because they rest on their laurels once they achieve a bit of success and think they can stop innovating. In the end though, you can count on things changing eventually, and if you don't adapt, someone else will come around and eat your lunch.