The programming committee for the 78th Annual SAM International Business Conference is pleased to announce the acceptance of the presentation Rivalry, Innovation Shock And New Product Launches: The Role Of Competitive Comparison by Fernando Campayo-Sanchez, Francisco Jose Mas-Ruiz, and Juan Luis Nicolau from the University of Alicante and Virginia Tech.
Presentation Abstract: This paper seeks to assess the impact of rivalry derived from a change in the environment on new product launches. We argue that the innovation shock coincided with the commercialization of the second-generation Toyota Prius (the first mass-produced electric vehicle in the world). Starting from the awareness-motivation-capability (AMC) framework, our hypothesis considers that a focal firm will anticipate the launch of its product in a post-shock market position when an item that it is developing is identified as a comparison target (either by the same company that intends to commercialize it or by a different one). The empirical analysis is carried out in the Spanish automotive market between 2003 and 2017. The methodology chosen is based on the estimation of a logit model with random coefficients and survival models with mixed effects. The results reveal the relationships assumed in the hypotheses and have important managerial implications. Specifically, we show that managers should consider the subjective evaluations of other competitors before marketing their own items. This aspect, which has not been articulated or operationalized to date, is of great relevance to strategic management.
Join us online to see this great paper and many more March 13 – March 18, 2023. For registration information visit www.samnational.org/conference.