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What is First-Mover Advantages

Handbook of Research on Telecommunications Planning and Management for Business
Benefits obtained by firms for being the first firms to enter into an industry. Their primary sources are pre-emption of assets, technological leadership and buyer switching costs
Published in Chapter:
The Effect of Non-Market Strategies in the Mobile Industry
Zulima Fernández (Universidad Carlos III de Madrid, Spain) and Belén Usero Sánchez (Universidad Carlos III de Madrid, Spain)
DOI: 10.4018/978-1-60566-194-0.ch012
Abstract
This chapter analyzes the role of non-market actions (NMAs) in the competitive position of firms in the European mobile telecommunications industry. First, the bases and uses of NMAs are reviewed and classified. Second, the use of legal actions as NMAs to erode the competitive position of first-mover firms is examined. Third, the findings of an empirical study confirming the effectiveness of legal actions as competition tools in the European mobile telecommunications industry are analyzed. Lastly, some conclusions, future lines of research and practical recommendations are presented.
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