L4/5: Market Entry / Competitive Interactions (Porter's Five Forces…
L4/5: Market Entry / Competitive Interactions
Resource-based view (RBV)
Value of the internal resources given?
Is the capability rare in the industry?
Is the resource costly to imitate?
Is the company effective structured in order to fully exploit its internal capabilities?
Types of firms resources
Organisational (e.g. control systems)
Innovation and creativity
Competences to transfer inputs into outputs
Preemption of scarce assets
Exploiting buyer switching costs (Qwerty keyboard)
Free rider effects for competitors
Immature enabling technologies/complements
Undeveloped supply/distribution channels (general market)
Costs for customer education
Learning investments may help to reduce uncertainty
Further investments in R&D
(Still) not fully scaling up
Learning about market uncertainty and technical aspects
Competitors are coming up (Kroger, Walmart, BingoBox)
Porter's Five Forces
Threat of Rivalry
Threat of Buyers
Threat of Substitutes
Threat of Suppliers
Threat of Entry
AA vs JetBlue