Date of Award
Doctor of Philosophy
Statement of problem. Not only is it expensive to bring products to market, but the rate of failure for new entries is high. Managers and researchers recognize that many factors affect the performance of a new entry, but most prior research has examined each construct one at a time using different measures for the constructs involved. These activities have contributed to the inconsistent findings.;Procedure or methods. A model of entry strategy performance is developed from prior research*. An entry strategy affects both the short and long term performance of the product as it establishes the product's initial competitive posture. Entry strategies are comprised of three fundamental components or decision areas: timing of entry (when to enter the market), magnitude of investment (in terms of R&D, promotional activities, distribution, etc.) and area of competitive emphasis. Other factors, outside the immediate control of management, affect a product's success or failure. They affect not only the performance of the new entrant but also the selection of the entry strategy itself. These are included in the general model*. This model is then operationalized and empirically examined to two product markets in the microcomputer software industry: word processing and business graphics. Analysis of the model is done via partial least squares analysis.;Results. All of the paths in the operationalized model were significant in one or both of the product markets. The most important predictors/explainers of performance were magazine coverage of the products (an industry specific construct added to the general model), competitive positioning dimensions: quality and value, and timing of entry. The weakest effects on performance came from the product market constructs: concentration and number of competitors.;Conclusion. The major contribution of this research is the development and testing of a comprehensive model of entry performance. It can be used as a decision-making aid for managers and as a general guide to researchers into entry strategies. ftn*Please refer to dissertation for diagram.
Green, Donna H., "Entry Strategy Performance: An Empirical Examination Of The Microcomputer Software Industry" (1991). Digitized Theses. 2071.