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Strategic Response of an Incumbent Firm in IT Intensive Industry: Few Reflections

Author

Listed:
  • Omprakash K. Gupta

    (Prairie View A&M University, College of Business, Prairie View, TX 77446, USA)

  • M. Mallikarjun

    (Nirma Institute of Management, Sarkhej-Gandhinagar Highway, Post: Chandlodia, Via: Gota, Ahmedabad, India 382 481, India)

  • Namjae Cho

    (Department of Business Administration, Hanyang University, Seoul, Republic of Korea)

  • Jeevan Jaisingh

    (Purdue University, Krannert School of Management, West Lafayette, IN 47907, USA)

Abstract

In this paper, an attempt has been made to look at the strategic options available for an incumbent firm in an information technology intensive industry. The traditional Stackleberg Leader Follower model fails to hold in this industry since costs decline substantially over time, and the incumbent firm cannot maintain a dominant position in the industry. This paper makes an attempt to look at few strategic options available for an incumbent firm under these circumstances.

Suggested Citation

  • Omprakash K. Gupta & M. Mallikarjun & Namjae Cho & Jeevan Jaisingh, 2003. "Strategic Response of an Incumbent Firm in IT Intensive Industry: Few Reflections," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 2(03), pages 373-380.
    • Handle: RePEc:wsi:ijitdm:v:02:y:2003:i:03:n:s0219622003000707
    DOI: 10.1142/S0219622003000707
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