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Decomposing First Mover Advantages in the Mobile Telecommunications Industry

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  • JP Eggers
  • Michal Grajek
  • Tobias Kretschmer

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.

Suggested Citation

  • JP Eggers & Michal Grajek & Tobias Kretschmer, 2011. "Decomposing First Mover Advantages in the Mobile Telecommunications Industry," DRUID Working Papers 11-09, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
  • Handle: RePEc:aal:abbswp:11-09
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    1. repec:eee:tefoso:v:123:y:2017:i:c:p:57-67 is not listed on IDEAS

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    Keywords

    First-mover advantage; Mobile telecommunications; Consumer-centric; Pre-entry experience; Firm pre-entry experience;

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