You are on page 1of 1

• Karakaya, F. & Stahl, M. (1989).

Barriers to Entry and Market Entry Decisions in

Consumer and Industrial Goods Markets. Journal of Marketing, vol. 53, Issue 2, pp. 80 –
91. Retrieved from Business Source Complete, EBSCO.
The authors test six market entry barriers in consumer and industrial markets: cost
advantages of incumbents, product differentiation of incumbents, capital requirements,
customer switching costs, access to distribution channels, and government policy. They
model market entry decisions of 137 executives in 49 major U.S. corporations with a
decision-making instrument consisting of 32 market entry opportunities. Each
respondent's decisions are modeled by regression analysis. The differences in the
importance of the six market entry barriers for early and late entry in consumer and
industrial goods markets are investigated. The results indicate that marketing executives
consider all six barriers in making market entry decisions. The cost advantages of
incumbents are considered to be the most important of the market entry barriers. Major
differences also are discovered among the other five barriers. Furthermore, the
importance of the barriers differs between consumer and industrial goods markets.

• Schilling, M. (2006). Technological Lockout: an Integrative Model of the

Economic and Strategic Factors Driving Technology Success and Failure. Academy of
Management Review, vol. 23, Issue 2, pp. 267-284. Retrieved from Business Source

Technology markets often exhibit extreme path dependency, enabling random or
idiosyncratic events to have dramatic effects on technology success or failure. However,
these effects accrue in an ordered way: by impacting a set of factors that have predictable
influences on technology adoption. Since firm strategy also impacts these factors,
technology adoption is neither wholly random nor beyond the firm's control. In this
article the author builds a model of these factors by integrating economics, strategy, and
marketing research. The model yields important implications for the strategic
development and deployment of technology.