ENTRY STRATEGY AND LONG-TERM PERFORMANCE - CONCEPTUALIZATION AND EMPIRICAL-EXAMINATION

A product entry strategy-the timing of entry, the magnitude of investm ent at entry, and the area of competitive emphasis at entry-affects lo ng-term performance in the marketplace. The authors develop the Entry Strategy Performance Model (ESPM) and propose an encompassing framewor k for product entry strategy research. They empirically test a researc h model derived from the ESPM through an examination and replication i n the microcomputer software market. The authors' significant findings are that initial competitive positioning and media coverage (an atypi cal market characteristic) drive long-term performance.