Decomposing First Mover Advantages in the Mobile Telecommunications Industry

Eggers Jp, Michal Grajek and Tobias Kretschmer

No 11-09, DRUID Working Papers from DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies

Abstract: We study first-mover advantages and organizational pre-entry experience in a market with highly heterogeneous consumers – the global mobile telecoms industry. Specifically, we consider the fact that early consumers will be different from later ones. We suggest that early entrants will attract higher-value consumers, which results in first-mover advantages. This effect will be enhanced if these firms have acquired prior technical experience. Conversely, later, mass-market adopters are attracted by established (domestic) brand names. Our empirical results from the global telecommunications industry support our assertions and provide importation insight for the study of first-mover advantages in high-technology industries.

Keywords: First-mover advantage; Mobile telecommunications; Consumer-centric; Pre-entry experience; Firm pre-entry experience (search for similar items in EconPapers)
Date: 2011
New Economics Papers: this item is included in nep-com, nep-ind and nep-mkt
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Citations: View citations in EconPapers (5)

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Persistent link: https://EconPapers.repec.org/RePEc:aal:abbswp:11-09

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