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Does competitive entry structurally change key marketing metrics?

Author

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  • Kornelis, Marcel
  • Dekimpe, Marnik G.
  • Leeflang, Peter S.H.

Abstract

To what extent does competitive entry create a structural change in key marketing metrics? New players may just be a temporal nuisance to incumbents, but could also fundamentally change the latter's performance evolution, or induce them to permanently alter their spending levels and/or pricing decisions. Similarly, the addition of a new marketing channel could permanently shift shopping preferences, or could just create a short-lived migration from existing channels. The steady-state impact of a given entry or channel addition on various marketing metrics is intrinsically an empirical issue for which we need an appropriate testing procedure.

Suggested Citation

  • Kornelis, Marcel & Dekimpe, Marnik G. & Leeflang, Peter S.H., 2008. "Does competitive entry structurally change key marketing metrics?," International Journal of Research in Marketing, Elsevier, vol. 25(3), pages 173-182.
  • Handle: RePEc:eee:ijrema:v:25:y:2008:i:3:p:173-182
    DOI: 10.1016/j.ijresmar.2008.01.003
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    2. Vidal-Sanz, Jose M. & Yildirim, Gökhan, 2012. "Expenditure trends in US advertising : long-term effects and structural changes with new media introductions," DEE - Working Papers. Business Economics. WB wb121506, Universidad Carlos III de Madrid. Departamento de Economía de la Empresa.
    3. Leeflang, Peter, 2011. "Paving the way for “distinguished marketing”," International Journal of Research in Marketing, Elsevier, vol. 28(2), pages 76-88.
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    5. Bahadir, S. Cem & Bharadwaj, Sundar & Parzen, Michael, 2009. "A meta-analysis of the determinants of organic sales growth," International Journal of Research in Marketing, Elsevier, vol. 26(4), pages 263-275.
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    7. Harald J. van Heerde & Shuba Srinivasan & Marnik G. Dekimpe, 2010. "Estimating Cannibalization Rates for Pioneering Innovations," Marketing Science, INFORMS, vol. 29(6), pages 1024-1039, 11-12.

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