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Embryonic usually started by pioneers. Can be protected by patents and reap huge rewards.
How do you exploit and maintain first mover advantage?
Choice of development strategy depends on three things :
Complementary assets: Assets required to exploit a new invention and gain a competitive advantage. Manufacturing facilities. Its expensive
Heights of barriers of imitation. Path dependence, Causal Ambiguity and Social Complexity.
Capable competitors How quickly will you be caught up with? eg EMI wiped out by GE
When are you going to license: Not rare its easily imitable and widespread.
Joint development: Don’t have everything yourself, No real barriers to entry, Number of comppetitoes are few
Go it alone: Rare, have the assets, barriers to imitation is high
Buy : They don’t have the assets Unique..