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Facing Hypercompetition in World Software Markets: Global Strategies for India

In: The Knowledge Economy in India

Author

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  • Jati K Sengupta

Abstract

The microcomputer industry today has reached a new phase: the phase of hypercompetition. Hypercompetition adds three dynamic facets to the standard model of market competition. The first is the innovation efficiency. Innovation is very broadly defined as in Schumpeterian dynamics for example, it may refer to a new product, a new process or technology, or opening up a new market niche. By this efficiency the firms generate new knowledge and new applications. Old knowledge gets replaced, new ones displace the incumbents and this competitive pressure grows continually. The second facet is access efficiency, whereby firms race up the escalation ladder in the strongholds arena. Today the Internet economy with its e-trade, e-commerce and dramatic changes in transportation and communications has transformed the demand market globally. Goods and services made by a company become available anywhere in the world today, and customers have access to a wide variety of goods and sellers.

Suggested Citation

  • Jati K Sengupta, 2003. "Facing Hypercompetition in World Software Markets: Global Strategies for India," Palgrave Macmillan Books, in: Frank-Jürgen Richter & Parthasarathi Banerjee (ed.), The Knowledge Economy in India, chapter 3, pages 58-78, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-51298-6_4
    DOI: 10.1057/9780230512986_4
    as

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