Leveraging the advantage of early entry: Proprietary technologies versus cost leadership

Régis Coeurderoy and Rodolphe Durand ()
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Régis Coeurderoy: UCBL - Université Claude Bernard Lyon 1 - Université de Lyon
Rodolphe Durand: EM - EMLyon Business School

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Abstract: This research develops the relationship between the "early mover advantage" and a firm's market share. It tests hypotheses relating a firm's strategic choices and order of entry to market share on a cross-sectional data set of 1042 French manufacturing companies. The results support the persistence of an advantage for early movers. Furthermore, the development of proprietary technologies, considered as a capability to protect in-house knowledge from competition, has a leverage effect on the advantage of early moving. Finally, if cost leadership is a relevant strategy to gain market share, it is mostly beneficial to late entrants.

Date: 2004-06-01
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Citations: View citations in EconPapers (12)

Published in Journal of Business Research, 2004, 57 (6), 583-590 p. ⟨10.1016/S0148-2963(02)00423-X⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-02311633

DOI: 10.1016/S0148-2963(02)00423-X

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