1. The reputation for power confers power. People may think someone's powerful when he's really not, or may mis-evaluate his power based on a single major incident or the like.
2. Not all power is purely physical. Teleios, for example, doesn't represent a major threat because he can face down your heroes in hand-to-hand combat -- he can't. But he could potentially wipe out all life on Earth with a tailored virus, supply other villains with cloned troops, attack Millennium City with custom-bred monsters, and so on -- all of which make him incredibly dangerous. (The same applies, to a more limited extent, to King Cobra, though he can take on superheroes in combat.)
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1. The reputation for power confers power. People may think someone's powerful when he's really not, or may mis-evaluate his power based on a single major incident or the like.
2. Not all power is purely physical. Teleios, for example, doesn't represent a major threat because he can face down your heroes in hand-to-hand combat -- he can't. But he could potentially wipe out all life on Earth with a tailored virus, supply other villains with cloned troops, attack Millennium City with custom-bred monsters, and so on -- all of which make him incredibly dangerous. (The same applies, to a more limited extent, to King Cobra, though he can take on superheroes in combat.)