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Pharmaceutical firms have been criticized for concentrating efforts of R&D on the so-called me-too or follow-on drugs. There have been many comments for and against the dissemination of these incremental innovations but few papers have broached the subject from an econometric point of view, possibly because identification of me-too or follow-on drugs is not so obvious. This paper focuses on the impact of entry order on follow-on drug competition in the French market between the years 2001 and 2007. More precisely, this study examines the effects on market share of first entrants in the follow-on drug market and how this possible competitive advantage changes over time. First results are coherent with theoretical microeconomic issues concerning the importance of being first. We find evidence that first movers in the follow-on drug market have the ability to capture and maintain greater market share for a long period of time. The hierarchical market position of follow-on drugs does not seem to be affected by generic drug emergence. From a dynamic perspective, our analysis shows that market share is positively correlated with the ability of follow-on drugs to set prices higher than the average follow-on drug prices in a specific therapeutic class, which means that market power remains considerably important for first movers. Moreover, we found that the optimum level of innovation to maximize market share is the highest one.

This study aims to analyze and formulate an effective strategy to enhance the competitiveness of the coconut oil industry at PT XYZ. With increasing competition in the global market, PT XYZ must adopt the right strategies to sustain and grow its market share. The research utilizes a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis to identify internal and external factors influencing the company's competitiveness. Furthermore, Porter's Five Forces analysis is used to assess industry dynamics and understand PT XYZ's competitive position within the coconut oil sector. The findings suggest that PT XYZ should prioritize improving production efficiency, diversifying its product offerings, enhancing product quality, and expanding its distribution network. To strengthen its position in the global market, PT XYZ should implement product innovations, upgrade quality standards, and invest in stronger branding initiatives. Additionally, the company should leverage its strengths to mitigate market threats and capitalize on emerging opportunities. These strategic recommendations are expected to significantly enhance PT XYZ's ability to compete in the coconut oil industry and ensure long-term sustainability. [ABSTRACT FROM AUTHOR]

This study uses a sample of Chinese listed firms to examine how overconfident CEOs influence firm risk, with product market competitiveness serving as a moderator. The findings of this investigation reveal that firms led by overconfident CEOs are more likely to have very volatile stock returns and cash flows, which runs counter to the predictions of traditional agency theories that assume agents are rational and risk averse. The results also demonstrate that non-state-owned firms are particularly susceptible to the unfavorable effects of overconfidence. Furthermore, except for state-owned firms, a competitive industrial environment may mitigate the negative consequences of CEO overconfidence. These outcomes suggest policy makers and regulators to formulate strategies for promoting stronger competition in the industry. [ABSTRACT FROM AUTHOR]

Unfair business competition in the business world is not uncommon even though there has been a law on the prohibition of monopolistic practices and unfair business competition, namely Law Number 5 of 1999. Basically, in carrying out business activities, it is natural for business actors to compete with other business actors, but must comply with legal signs governing such competition. Along with the increasingly complex development of the business world and the ever older anti-monopoly and unfair business competition laws, unfair business competition practices are also developing. On this occasion, unfair business competition practices will be discussed by bankrupting competing business actors. The study in this paper uses the normative juridical research method which prioritizes literature studies through the applicable laws and regulations in Indonesia as well as several related book references and uses an analytical descriptive approach. Based on the studies carried out, along with the results of his research, competition for market share control for business actors is a very strategic matter as a result of which business actors often use unhealthy methods as stipulated in the anti-monopoly and unfair business competition law. Unfair business competition in the perspective of bankruptcy law as mentioned above can occur due to weaknesses in regulatory patterns regarding bankruptcy requirements as stated in Article 2 paragraph (1) UUK & PKPU. [ABSTRACT FROM AUTHOR]

Tourism is not only the largest sector in the world economy, but also one of the fastest growing emerging industries in the world. Unlike other economic sectors that transport products to consumers, tourism enables people to migrate to places where tourism resources are concentrated. These resources are consumed somewhere. With the development of social economy, tourism has increasingly shown its important position in the national economy. After years of development, Kazakhstan's tourism industry has made significant contributions to the national economic development. At the same time, the industry has also accumulated many problems and contradictions in the long-term development process. From a macro level, the development situation of Kazakhstan's tourism industry is good, with total tourism revenue and tourist numbers rising rapidly. From a micro level, tourism enterprises are small in scale, have poor operations, and have low overall competitiveness. From the industrial level analysis, the main problems and contradictions of Kazakhstan's tourism industry are related to its market structure characteristics. Structural issues are core issues in the development of tourism in Kazakhstan. Using structural ideas and methods to study the tourism industry in Kazakhstan can guide the sustainable development of the tourism industry and provide a basis for decision-making by the government. Based on the literature review of the tourism market structure, the authors analyze the optimization path based on the Kazakhstan tourism market structure and effectively promotes the tourism industry. [ABSTRACT FROM AUTHOR]

In recent years, the tobacco industry has accelerated the development strategy of "big brand, big market and big enterprise", and the competitive landscape of cigarette brands has been taken shape. Based on the brand management goal of tobacco commercial enterprises and a review of existing research, this paper explores the evaluation model of brand competitiveness used entropy method. The research results show that the competitiveness of mature brands includes three aspects: development potential, market ability and basic ability, among which indicators such as market share and price index have the greatest influence on brand competitiveness. [ABSTRACT FROM AUTHOR]

This paper documents a link between bank concentration and markups in nonfinancial sectors. We exploit concentration-increasing bank mergers and variation in banks' market shares across industries and show that higher credit concentration is associated with higher markups and that high-market-share lenders charge lower loan rates. We argue that this is due to the greater incidence of competing firms sharing common lenders that induce less aggressive product market behavior among their borrowers, thereby internalizing potential adverse effects of higher rates. Consistent with our conjecture, the effect is stronger in industries with competition in strategic substitutes where negative product market externalities are greatest. [ABSTRACT FROM AUTHOR]

The global market for biologics and biosimilar pharmaceutical products is experiencing rapid expansion, primarily driven by the continuous discovery of new molecules. However, information regarding Latin America's biological market remains limited. [ABSTRACT FROM AUTHOR]

China National Heavy Duty Truck (CNHTC) is a famous brand in China. China National Heavy Duty Truck (CNHTC) is a well-known domestic automobile brand, which occupies a certain market share in the automobile market and is recognized and supported by many consumers. However, China National Heavy Duty Truck Corporation (CNHTC) mainly focuses on heavy-duty truck products, and the development of its VGV light-duty vehicle has not been very good in the past decade, which needs to readjust its marketing strategy. This study takes China National Heavy Duty Truck Corporation (CNHTC) VGV as the research object, and explores its marketing market environment, competitive environment, etc., to find out the current marketing status of the company, and the dilemmas that appear in marketing: slow product updating, solidified brand image, lack of effective supervision and flexibility in price positioning, lack of on-line channels, inadequate management of dealers, single means of promotion, and lack of innovation in advertisement. Targeted to put forward to speed up the product update speed, pay attention to brand building, pricing and product positioning, strengthen the effective supervision of product price, online and offline channels combined, reasonable planning product channel layout and other countermeasures. [ABSTRACT FROM AUTHOR]

Research Summary: Scholars have noted that pronounced changes in consumer demand and technology often offer firms temporary opportunities to strengthen their performance vis‐à‐vis rivals. This article contributes to the literature on windows of opportunity from an organizational learning perspective. It investigates whether the depth and breadth of a firm's international experience with pronounced changes in demand conditions (demand windows) and technologies (technological windows) affect its ability to take advantage of such changes within a country to increase its market share. The results, based on a sample of 615 telecommunication companies competing in 124 countries, suggest that mainly two out of four dimensions of international experience help firms to exploit windows of opportunity in a country. Managerial Summary: What can help multinational companies (MNCs) to navigate periods of marked changes in demand and technology? When an MNC encounters a marked change in demand or technology in a country, it may have already experienced in the past many or just a few of these events, depending on its international footprint, and this serves to assess the MNC's international experience with such changes. Using data on telecommunication companies, we show that both (a) an MNC's repeated exposure to a certain type of change over time (depth of international experience) and (b) the variety of changes an MNC has been exposed to (breadth of international experience) in international markets may help the MNC to obtain market share advantages when such changes occur in a country. [ABSTRACT FROM AUTHOR]

This paper attempts to locate the issue of innovation and foreign entry, in particular new entrants from China, in recent US and EU merger decisions. In the first part, the paper examines to what extend US and EU authorities considered foreign entry in recent major merger decisions such as Bayer/Monsanto, Dow/DuPont and ChemChina/Syngenta. The outcome of this short analysis shows that the EU Commission has in recent years begun to accept the argument of foreign entry, in particular from China, as long as the market shares of the merging parties are not too high. The US has not explicitly discussed the question of foreign entry in the above-named decisions. However, in the case Whirlpool/Maytag the US authorities accepted, despite high market shares of the parties, the argument of foreign entry and approved the merger. With regards to innovation, entry into future product markets is not considered favourable to the merging parties by the EU Commission. 'Innovation competition' or early 'pipeline products' is rather used as an argument to demonstrate that the merging parties hold market power in product markets in the future. Based on the selected case law, the US authorities, by contrast, did recognize entry into future product markets as an argument in favour of the merging parties. In its second part, the paper looks at the pros and cons of forming 'national champions' and discusses competition law enforcement in light of the numerous and politically powerful Chinese state-owned enterprises (SOEs). [ABSTRACT FROM AUTHOR]

This study examines how several determinants of industry product market competition—product substitutability, market size, and entry costs—affect managers' strategic disclosure of industrial segment-level information. I find evidence of an inverted U-shaped relation between competition and managerial disclosure of segment-level research and development expenditure. Competition is insignificantly (negatively) related to the likelihood of managers disclosing segment-level number of employees at low (high) competition levels. Competition is insignificantly related to disclosure of the segment-level number of employees. The study also finds that a firm's market share interacts with competition in the industry to influence managerial disclosure. When a firm's market share increases, managerial disclosure of segment-level information also increases, with this relation becoming stronger at higher competition levels. This study contributes to the literature by showing that the nature of product market competition and a firm's competitive position in an industry are important determinants of industrial segment-level disclosure. JEL Classifications: D4; L1; M40; M41. [ABSTRACT FROM AUTHOR]

We evaluate the link between chief executive officer (CEO) industry tournament incentives (ITIs) and the product-market benefits of corporate liquidity. We find that ITIs increase the level and marginal value of cash holdings. Furthermore, ITIs strengthen the relation between excess cash and market-share gains, especially for firms that face significant competitive threats. Additionally, for firms with excess cash, higher ITIs lead to increased research and development (R&D) expenses, capital expenditures, and spending on focused acquisitions as well as reduced payouts. Overall, our findings suggest that ITIs increase the value of cash by incentivizing CEOs to deploy cash strategically to capture its product-market benefits. [ABSTRACT FROM AUTHOR]

With the repeal of the MFA agreement, the competitive conditions in yarn and weaving industries have changed. Especially, with the cheap labour of Asian and Far Eastern countries, they have become advantageous in this unrestricted competition environment. Therefore, this study was conducted to help to identify those products where Türkiye and her competitors have comparative advantages. This study mainly focuses on analysing the complementarity and substitutability of selected countries such as Türkiye, India, China and the USA. RTA, RC, RSCA and trade specialisation (TSI) indices were used to evaluate the competitive advantage. The results showed that Türkiye's competitiveness in cotton yarn and cotton weaving has deteriorated. However, India and China, which are the major countries in the world's cotton production, have a positive impact on their long-term competitiveness. Moreover, for these countries there is convergence in cotton yarn and divergence in cotton fabric products. [ABSTRACT FROM AUTHOR]

Copyright of Ekonomia Międzynarodowa is the property of Wydawnictwo Uniwersytetu Lodzkiego and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Revista de Economía (Universidad Autónoma de Yucatán) is the property of Universidad Autonoma de Yucatan, Facultad de Economia and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Using a quasi‐natural experiment and various measures of competition intensity, we examine whether an increase in product market competition is a key driver of firm cash holdings. We find that firms increase cash holdings when competition is intense. The results suggest that the degree of increase in cash holdings is magnified among firms exposed to high predatory threat and financing friction. In addition, we examine if increasing cash holdings offers a competitive advantage in the product market. Our results indicate that firms with large cash reserves make gains in market share at the expense of their rivals. Gains in the product market are more pronounced among firms with low exposure to predatory risk and financing frictions. [ABSTRACT FROM AUTHOR]

In anticipation of long-run competitive advantages, pharmaceutical companies often try to enter new markets earlier than their competitors. It is questionable, however, whether this effort is really justified, because knowledge about the expected size of these order-of-entry advantages is scarce. Apart from confirming the existence of long-run advantages for the first mover for some selected brands, the literature gives hardly any guidelines. The objective of this article is to provide the information on the existence, the size, and the dynamics of order-of-entry effects, which is necessary for deciding on the optimal moment for a launch. The author proposes a new framework--a fractional panel probit model--which is fitted to a big and representative sample. With this procedure, order-of-entry effects can be measured in a multivariate model and as absolute market share differences, which is more informative for pharmaceutical companies than former measures. [ABSTRACT FROM AUTHOR]

Although managers and researchers put utmost importance on uncovering factors that affect effort and performance of sales representatives, they have largely overlooked a key factor. This research aims to remedy this neglect by shedding light on salesperson brand attachment. A qualitative study first examines the prevalence of attachment and uncovers several potential antecedents. Two follow-up empirical studies show that identification and psychological ownership are significant predictors of salesperson brand attachment. Informed by this research, managers can encourage brand attachment, with the end goal of increasing salesperson effort and ultimately performance, by increasing feelings of identification and psychological ownership among salespeople. This impact is particularly notable among brands with low market share, which are often a key concern of managers. The findings provide novel insights into how attachment affects sales representatives, as well as potential methods to cultivate such an attachment. [ABSTRACT FROM AUTHOR]

The Clayton Act's vague mandate contemplates a substantial role for courts to determine which acquisitions may substantially lessen competition or tend to create a monopoly. However, following the General Dynamics ruling in 1975, the Supreme Court has been silent on merger doctrine altogether. This hiatus has allowed lower courts to dramatically depart from the Court's 1960s and 70s jurisprudence, leading to a merger doctrine that has shifted from promoting a market of many small firms to focusing on price effects and market share. As a result of this change in goals, courts and regulators have allowed large technology firms with high market shares to purchase small competitors, leading to increased market concentration. An intent-based test would bridge the chasm between jurisprudence with a focus on market share and nascent competitors with little or no market share. Specifically, this Note recommends that courts adopt a three-part analysis it calls the Facebook Two-Step, which involves a factual inquiry into whether a merger is a nascent competitor acquisition, followed by a dispositive examination of the acquirer's intent and, only if that is inconclusive, continuing onto the traditional market share analysis. This fact-based test would closely scrutinize, and give deference to, the subjective intent of the acquirer when reviewing acquisitions of dominant firms' nascent competitors. An intent-based test would prevent the continued dominance and predatory tactics of today's large technology firms and provide courts and regulators with an avenue to bypass the burdensome market definition issues that have become the hallmark of antitrust litigation. [ABSTRACT FROM AUTHOR]

Advertising revenues are a major source of income for media companies such as publishing houses. In the age of digitalisation, generating revenue in the online advertising market is an essential ingredient for future economic viability and competitiveness. However, programmatic advertising as a new marketing technique, as well as the proliferated number of websites and increased competition, has challenged publishing houses to generate revenue within the online advertising market. Therefore, media branding has emerged as an important issue. Since brands in such a B2B market share the same purpose as they do in consumer markets, they too offer the potential for media companies to gain a substantial competitive advantage. This article investigates the importance of media brands in relation to other purchase criteria within online media planning. The results of an Adaptive Choice-Based Conjoint analysis (ACBC) with online media planners suggest that the role of media brands within online media planning is limited and secondary to price and its influence varies over different career levels. Furthermore, a price premium can be obtained for a media brand with a higher perceived utility. This article concludes with implications for media companies. [ABSTRACT FROM AUTHOR]

We empirically study the strategic behavior of levered firms in competitive and noncompetitive environments. We find that regulation induces firms to increase leverage, and this reduces their ability to compete when deregulation occurs. Large and small levered firms adopt different strategies upon deregulation. Whereas more levered small firms charge higher prices to increase margins at the expense of market shares, highly levered large firms prey on their rivals by increasing output and reducing prices to increase their market shares. The difference in their behavior is due to differences in their probability of bankruptcy and their financing constraints. [ABSTRACT FROM PUBLISHER]

Return of products purchased by customers is a common phenomenon in the retail industry and results in costs to retailers. In practice, most retailers implement a full-refund policy, but the terms of customer returns policies vary. A customer returns policy serves as a post-customer service, and is a determinant factor in the customer’s decision to purchase the product, in addition to other factors, such as the price of the product. In this paper, for competing retailers who face customer returns, competition from multiple retailers and uncertain customer valuations of the product, we develop a model to examine when retailers can survive and what pricing strategy they should implement in a competitive market. We identify the co-existence conditions for multiple retailers and the existence conditions of a Nash equilibrium among competing retailers. We also show the impact of customer returns on the retailers’ pricing and market share, as well as on profits in a competitive market. Numerical examples are included to illustrate the major results discussed in the paper. [ABSTRACT FROM PUBLISHER]

We investigate whether the Troubled Assets Relief Program (TARP) gave recipients competitive advantages. Using a difference-in-difference (DID) approach, we find that: i) TARP recipients received competitive advantages and increased both their market shares and market power; ii) results may be driven primarily by the safety channel (TARP banks may be perceived as safer), which is partially offset by the cost-disadvantage channel (TARP funds may be relatively expensive); and iii) these competitive advantages are primarily or entirely due to TARP banks that repaid early. These results may help explain other findings in the literature, and yield important policy implications. [ABSTRACT FROM AUTHOR]

In markets, firms must compete following a set of rules determined by laws, regulations, and social practices or pressures. This article investigates the effect of the degree of competition on the extent to which firms invest in behaving according to the rules of the marketplace. The authors model investments in following these rules as increasing the firm's marginal costs of production and decreasing its probability of being caught violating the market rules (and thus losing profits). They show that greater competition leads to smaller investments in following the market rules. This leads to (1) the existence of a social optimum degree of competition that is less than perfect competition and (2) more competition in general, thus prompting greater optimal monitoring efforts. Stricter market rules can lead to greater investments in satisfying the market rules and to lower production. The authors also present results on the likelihood of firms having broken the market rules depending on relative market shares, optimal monitoring, and the effect of dynamics on the incentives to satisfy the market rules. [ABSTRACT FROM AUTHOR]

Does democratisation promote economic competition? This paper documents that the disruption of political connections associated with Suharto's fall had a modest pro-competitive effect on Indonesian manufacturing industries. Firms with connections to Suharto lost substantial market share following his resignation. Industries in which Suharto family firms had larger market share during his tenure exhibited weak improvements in broader measures of competition in the post-Suharto era relative to industries in which Suharto firms had not been important players. [ABSTRACT FROM AUTHOR]

The primary objective of this research is to ascertain the relationship between market shares of traditional and digital media in Pakistan by using the theoretical framework of the media niche theory. In order to achieve this objective, the study has tested different relationships between advertising market shares of media forms through various statistical techniques. The researchers have determined the overlaps and variabilities among the advertising market shares of media forms through ANOVA and Tukey's post hoc. In addition to this, Kendall tau's correlation has been used in order to analyze the effects of digital media on the advertising market share of traditional media. The simple linear regression method has also been used to find out if a viable relationship exists between media forms and advertising expenditure. The study findings have indicated that media forms are statistically significantly different in spending on advertisements. Tukey's Post Hoc test reveals that advertising expenditure of radio is significantly different from TV and Print Media, but there is no significant difference between the expenditure of radio and digital media. It is also determined that a significant inverse relationship exists between advertisement spending on digital media and TV, and digital media and radio. However, a significant and positive relationship is found between digital media and print media, but with a very weak value of Kendall tau. Our study implies that traditional media is experiencing a downfall in the advertising media market, primarily due to the widespread advent of digital media in Pakistan. [ABSTRACT FROM AUTHOR]

We examine two competing views regarding the impact of competition among credit rating agencies on rating quality: the view that rating agencies do not sacrifice their reputation by inflating firm ratings, and the view that competition among rating agencies arising from the conflict of interest inherent in an “issuer pay” model creates pressure to inflate ratings. Using Fitch’s market share as a measure of competition among rating agencies and controlling for the endogeneity problem caused by unobservable industry effects, we find no relation between Fitch’s market share and ratings, suggesting that competition does not lead to rating inflation. [ABSTRACT FROM AUTHOR]

This study explores the reciprocal relationship between the nature and duration of competition, and innovation outcomes. We propose that the perpetually driven, reciprocal sequence of competitive action and reaction known as the "Red Queen" in evolutionary biology is a cardinal force behind the success of innovations. We test our hypotheses applying a comprehensive data set of all automobile manufacturers known to compete in the US automobile market at any time between 1946 and 2008. Using data composed of 8203 model-year pairs, 1071 models from 148 different brands, we find that recent competitive experiences of models, rather than those in the distant past, make them more viable competitors. Additionally, superior reputation and market share are found to effectively shield models from the pernicious effects of Red Queen competition. [ABSTRACT FROM AUTHOR]

The steel plate market in the Batam Free Trade Zone is very large, namely 75% of the Indonesian market share. PT Krakatau Steel's steel plate products are not competitive in the Batam Free Trade Area, especially in terms of price and long delivery times. So, a strategy is needed to increase competitiveness. This type of research is a quasiqualitative research method with interviews, questionnaires, observation, and literature study. In this study, there are two problem formulations, namely how to determine the criteria for competitiveness and how to improve the strategy for increasing the competitiveness of PT Krakatau Steel's steel plate in the Batam Free Trade Area. In determining the criteria for competitiveness, AHP analysis is used. For strategies to increase competitiveness using the SWOT-AHP analysis. The results showed that the criteria affecting the competitiveness of steel were Manufacture Strategy with a weighting value of 0.526 with sub-criteria for cost, quality, delivery, and flexibility. The SWOT analysis shows that the strategy currently used by PT Krakatau Steel is SO. Based on the results of the SWOT-AHP analysis research, it was found that the competitiveness of PT Krakatau Steel could still be improved with the ST strategy which was more relevant to the situation in the Batam Free Trade Area. [ABSTRACT FROM AUTHOR]

Copyright of Economic Sciences is the property of Republic of Iraq Ministry of Higher Education & Scientific Research (MOHESR) and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Trademark remedies in cases of reverse confusion are economically inefficient. Junior users in the best position to take economic advantage of marks are sometimes unable to do so due to prior use of a mark by a much smaller, remote senior user. This creates economic inefficiencies and leaves market share unutilized. For this reason, TRIPS needs to be revised to allow for a limited system of compulsory licensing for trademarks in reverse confusion cases. A system of compulsory licensing for trademarks would allow the person or company in the best position to use and gain market share from a trademark, to have access to it. It would accelerate competition, one of the goals of intellectual property law. A well-written remedial scheme, including compulsory licensing, can maximize the economic value of trademarks, while still avoiding consumer confusion. Compulsory licensing can be found in both patent and copyright law, and thus can logically be extended to trademark law. A hypothetical "Trademark Panel," similar to the Copyright Royalty Judges Program, could use a set of criteria to decide when a compulsory license would be appropriate in trademark law, and how to establish an appropriate licensing fee. [ABSTRACT FROM AUTHOR]

Copyright of Journal of Administration & Economics is the property of Republic of Iraq Ministry of Higher Education & Scientific Research (MOHESR) and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Translating a diverse body of research, including industrial organization economics, strategy, and entrepreneurship, we present a framework of micro entry--specifically, how de novo entrants penetrate markets dominated by large incumbents without intensifying rivalry. Entrant-incumbent relations has received substantial attention in these three literatures, but with a few exceptions, prior research has focused mainly on hostile entry and on large or comparable players. We explain, however, that acute size differences create distinct entrant-incumbent dynamics. Normatively, we show how, when, and where micro entrants are most likely to penetrate markets dominated by large incumbents. Conceptually, we expand resource partitioning and mutual forbearance theories by relaxing their assumptions and then remeshing their logic, thus offering nuanced insights on entrant-incumbent relations when size differences are very large. Contrary to the creative-destructive hypothesis, we evince that market penetration is more likely when micro entrants either solidify large incumbents' positions or target small niches that are inconsequential for large incumbents. Reactions to micro entry are also influenced by contextual factors--when large incumbents operate in value networks that expand through integration or modularity. [ABSTRACT FROM AUTHOR]

Market share and customer satisfaction are often used to assess marketing performance. Despite the widespread assumption of a positive relationship between these two variables, the limited extant empirical literature on the subject indicates either a negative or a nonsignificant relationship. The authors reexamine this relationship over a longer time period than has previously been possible in a representative sample of U.S. consumer markets and find a consistently significant negative market share-customer satisfaction relationship. This is because customer satisfaction is generally not predictive of firms' future market share, but market share is a strong negative predictor of firms' future customer satisfaction. In follow-up analyses, the authors find that a firm's customer satisfaction can predict its future market share when it is benchmarked against that of its nearest rival and customer switching costs are low. In examining why the market share-future customer satisfaction relationship is generally negative, they find strong support for preference heterogeneity as a key mediator in this relationship. They also show that marketing more brands moderates the negative effect of preference heterogeneity on future customer satisfaction. Thus, larger brand portfolios offer a strategy solution for the general market share-satisfaction trade-off. [ABSTRACT FROM AUTHOR]

We examine the influence of competitive spillovers among subsidiaries on the design of headquarters-subsidiary relationships. We focus on multi-industry firms and competitive spillovers across markets, hypothesizing that these firms delegate most business-level decisions to subsidiaries but adapt to multimarket competition by limiting their subsidiaries’ incentive and ability to make resource commitments by constraining the scope of decision rights and the available resources, a phenomenon that we refer to as “constrained delegation.” Accordingly, the extent of multimarket contact in a given market (1) is associated with lower subsidiary discretion in decisions pertaining to resource commitments and (2) counteracts the tendency of internal capital markets to provide financial resources to subsidiaries that have a low market share or operate in high-growth industries. Results of analyses, based on the population of majority-owned subsidiaries of groups operating in France between 1997 and 2004, support the predictions. We also found that multimarket contact is associated with a subsidiary’s being even less competitively aggressive when the organization’s design imposes more constraints on the subsidiary’s resource allocations. This study, one of the first to explore empirically the impact of negative spillovers within the firm on organization design in multiunit firms, suggests that organizational choices are endogenous to the competitive context. [ABSTRACT FROM PUBLISHER]

We propose a model of competition between online and brick-and-mortar higher education. Students pay a transportation cost to attend the brick-and-mortar supplier's courses, whereas the online course is free of transportation cost but involves a fixed and homogeneous disutility. We derive the optimal fee policy for a single university as a function of its location and the fixed cost of online delivery. We also study the impact of distance learning on competition between two universities. We discuss equilibria and market sharing in non-regulated and regulated settings. Finally, we address policy issues such as optimal provision of MOOCs. [ABSTRACT FROM AUTHOR]