Can Companies Maintain Their Initial Innovation Thrust? A Study of the PC Software Industry

Thomas Prusa and James Schmitz

The Review of Economics and Statistics, 1994, vol. 76, issue 3, 523-40

Abstract: This paper identifies a number of patterns in the sales of products within firms and over time in the PC software industry. For example, the authors find that a firm's initial product tends to be its most successful. There is also some indication that a firm's initial product sells better than its second, its second better than its third, and so on. The authors sketch some simple models consistent with these results. Copyright 1994 by MIT Press.

Date: 1994
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