Findings for markets with moderately temporary advantages
Table 2a displays the analysis predicting the origins of frequent market moves, and Table 2b shows the origins of frequent R&D moves in the established Sonite market. Model 1 in both tables includes the control variables only. Firms made more market moves when the established market was rivalrous (competitor moves), a result consistent with crowded established markets where competitive moves encourage quick retaliation. We also find that firms made more R&D moves when the overall market demand in the Sonite and Vodite markets declined (sector growth), suggesting that firms engaged in more invisible R&D moves and kept honing their products when the overall market shrank. The results also show that resource availability (firm resources) did not consistently drive competitive moves in established markets.
To test Hypothesis 1 on market moves, Model 2 in Table 2a introduces the firm performance variable. We argued that in established markets, firms avoid market moves when they have performed well, but make them more frequently when they have performed poorly (H1). As expected, the coefficient for firm performance is negative and significant (p < 0.001) in Model 2 and remains significant in the full model that includes the somewhat correlated firm resources variable. Thus, the results support H1 and indicate that high-performing firms avoid disruptive market moves.
To test Hypothesis 2 on R&D moves, Model 2 in Table 2b similarly introduces the firm performance variable. We argued that in established markets, firms will be motivated to make frequent R&D moves when they perform well (H2). The coefficient for firm performance is positive but not statistically significant in Model 2 and positive and significant (p < 0.05) in the full model. Together, the results support H2 and indicate that it is the high-performing rather than the low-performing firms that are motivated to make R&D moves in established markets.
Findings for markets with highly temporary advantages
Table 3a displays the analysis predicting the origins of frequent market moves, and Table 3b shows the origins of frequent R&D moves in the new Vodite market. Model 1 in both tables contains control variables. Firms did not make significantly more market moves when competitors moved aggressively (competitor moves), consistent with the uncrowded landscape of new markets with no well-defined turfs of competition or spheres of influence to defend. But they made more market moves when new types of customer demand emerged (demand diversity). Consistent with unexplored opportunities in new markets then, competitors did not focus on retaliation in existing market segments, but rather made market moves as new and diverse customer segments emerged. Unlike in the established market, resource-rich firms (firm resources) were more likely to make frequent market and R&D moves.
To test Hypothesis 3 on market moves, Model 2 in Table 3a introduces the firm performance variable. We argued that in new markets, firms will engage in market moves more frequently when they perform well (H3). As expected, the coefficient for firm performance is positive and significant (p < 0.001) in Model 2 and positive and significant (p < 0.01) in the full model. Thus, the results support H3 and suggest that high-performing firms engage in market moves to learn about the new market and stay in front of competitors.
To test Hypothesis 4 on R&D moves, Model 2 in Table 3b introduces the firm performance variable. We argued that firms will engage in frequent R&D moves in new markets when they perform well (H4). As expected, the coefficient for firm performance is positive and significant (p < 0.001) in Model 2 and in the full model. The results support H4 and indicate that it is the high-performing rather than the low-performing firms that enact R&D moves.
Уважаемый посетитель!
Чтобы распечатать файл, скачайте его (в формате Word).
Ссылка на скачивание - внизу страницы.