Achieving Market Leadership: The Next Challenge for Technology Firms from Growing Countries

Published:

Authors

  • Eric ViardotEADA Business School, Spain
Keywords
Technology industries, growing countires, market leadership, technology standard, dominant model, complementors

Abstract

Technology industries tend to follow a “winner-takes-all” model where the whole market belongs to an oligopoly of firms. Those companies are achieving an overriding position with a product or service whose dominant design is adopted by an overwhelming number of customers and makes it a de facto market standard. We have identified seven different moves used by the firms from the developed world to push their technology-intensive solutions to the market so that they become indisputable leaders. They offer a compatible or open technology to generate increasing returns; besides they create a supportive network; they also actively promote their technology through an aggressive branding; they go after the global market in order to reach the maximum volume of users; they minimize their production costs in order to lower their price and get to new customers; finally they constantly invest more than their competitors in order to reach a critical mass which make their solution unavoidable. Technology industries have long been dominated by companies from the developed world. However in the recent years, new players are coming from growing economies, especially from China for high tech products and India for technology services. In this paper, we will explore how those technology companies from growing countries -mostly China and India- can also apply those different actions in order to reach market leadership

References

Brandenburger, A.M. and Nalebuff, B.J. (1997) Co-Opetition: A Revolution Mindset That Combines Competition and Cooperation: The Game Theory Strategy That’s Changing the Game ofBusiness, New York, Doubleday Business.

Burke, W. L. and Schoeffler, S. (1980) Brand Awareness as a Tool for Profitability, The Strategic Planning Institute, Boston, MA: Cahners.

Farrell, J. and Saloner, G. (1985) ‘Standardization, Compatibility, and Innovation’, RAND Journal of Economics, 16:1, 70-83.

Frick, K.A. and Torres, A. (2002) ‘Learning from High-Tech Deals’, The McKinsey Quarterly, 1, 112-124

Kelleher, K. (2008) Window on the Future. (online). Available from http://www.portfolio.com/news-markets/top-5/2008/04/24/Microsoft-Earnings-Outlook.>

Mc Gee J., Sammut B. and Tanyut, A. (2002) ‘Network Industries in the New Economy’, European Business Journal, 14:3,116-133.

Prahalad, C.K. and Krishnan M.S. (2008) The New Age of Innovation. Driving Co-Created Value Through Global Networks, McGraw Hill: New York.

Steinbock, D. (2001) The Nokia Revolution: The Story of an Extraordinary Company that Transformed an Industry, New York, AMACOM.

Tatsumoto, H, Ogawa, K. and Shintaku, J. (2010) ‘Standardization, International Division of Labor and Platform Business’, MMRC Discussion paper N° 307. (online). Available from http://merc.e.u-tokyo.ac.jp/mmrc/dp/pdf/MMRC307_2010.pdf>

Temporal, P. and Lee, K.C. (2000) Hi-Tech Hi-Touch Branding: Creating Brand Power in the Age of Technology, New Jersey, John Wiley & Sons.

The Economist (2010) The Economist Special Report – Innovation in Emerging Marketsm, April.

UNCTAD (2009) World Investment Report, Division on Investment and Enterprise, (online). Available from http://www.unctad.org/>

http://www.bluetooth.com>

http://www.canalys.com/>

http://www.ft.com/global-brands-2009>

http://www.ft.com/reports>

http://www.gartner.com>

http://www.idc.com>

http://www.informationweek.com>

http://www.millwardbrown.com/2009_BrandZ_Top100_Report.sflb.ashx>

http://www.reuters.com>

http://www.spiegel.de>

Viardot, E. (2004) Successful Marketing Strategies for High Tech Firms, (3rd edn.), Artech House:Boston.

How to Cite

Eric Viardot. Achieving Market Leadership: The Next Challenge for Technology Firms from Growing Countries. J.Technol. Manag. Grow. Econ.. 2023, 01, 9-28
Achieving Market Leadership: The Next Challenge for Technology Firms from Growing Countries

Current Issue

PeriodicityBiannually
Issue-1May
Issue-2November
ISSN Print2321-2217
ISSN Online2321-2225
RNI No.CHAENG/2013/50088
OA Policy

Publisher's policy of the journal at Sherpa UK for the submitted, accepted, and published articles. Click OAPolicy

Plan-S Compliance

To check compliance, one has to use the Journal Check Tool (JCT). This tool provided by cOAlition S (European funders) for the researchers (fundee) to check the compliance with the journal.

Recommend journal to your library

You can recommend the journal being a researcher or faculty member to your library. We will post a copy of the Journal to your library on your behalf at free of cost.
Click here: Recommend Journal

Preprint Arxiv Submission

The authors are encouraged to submit the author’s copy (preprint) to appropriate preprint archives e.g. https://arxiv.org and/or on https://indiarxiv.org or institutional repositories (e.g., D Space) before paper acceptance by the editor of Journal. After publications of the paper author(s) should mention the citation information, title and abstract along with DOI number of the publication carefully on the required page of the depository(ies).

Contact: Phone: +91-172-2741000, +91-172-4691800

Email : editor.tmg@chitkara.edu.in;

Abstract and Indexing

Information

This work is licensed under a Creative Commons Attribution 4.0 International License.

Articles in Journal of Technology Management for Growing Economies(J.Technol. Manag. Grow. Econ.) by Chitkara University Publications are Open Access articles that are published with licensed under a Creative Commons Attribution- CC-BY 4.0 International License. Based on a work at https://tmg.chitkara.edu.in/. This license permits one to use, remix, tweak and reproduction in any medium, even commercially provided one give credit for the original creation.

View Legal Code of the above-mentioned license, https://creativecommons.org/licenses/by/4.0/legalcode

View Licence Deed here https://creativecommons.org/licenses/by/4.0/

Creative Commons License

Journal of Technology Management for Growing Economies by Chitkara University Publications is licensed under a Creative Commons Attribution 4.0 International License.
Based on a work at https://tmg.chitkara.edu.in/

Members