Defensive Strategies in Strategic Management

 

Defensive Strategies in Strategic Management Small Business

By Jeremy Bradley, January 25, 2019

https://smallbusiness.chron.com/defensive-strategies-strategic-management-60016.html

Karakaya, F. and Yannopoulos, P. (2010), "Defensive strategy framework in global markets: A mental models approach", European Journal of Marketing, Vol. 44 No. 7/8, pp. 1077-1100. https://doi.org/10.1108/03090561011047535

https://www.emerald.com/insight/content/doi/10.1108/03090561011047535/full/html

A Prelaunch Diffusion Model for Evaluating Market Defense Strategies

John H. Roberts, Charles J. Nelson, Pamela D. Morrison

Published 2005

Economics

Marketing Science

This paper describes the development and application of a marketing model to help set an incumbent's defensive marketing strategy prior to a new competitor's launch. The paper uses probability flow models to provide a framework to generate forecasts and assess the determinants of share loss. We develop models at two levels of complexity to give both simple, robust forecasts and more detailed diagnostic analysis of the effect of marketing actions. Continued use of the defender depends on both service factors and price. The rate at which share loss eventuates is negatively related to the defender's perceived responsiveness, saving money being the only reason to switch, and risk aversion.

Prelaunch model forecasts, validated six months after launch using both aggregate monthly sales data and detailed tracking surveys, are shown to closely follow the actual evolution of the market. The paper provides a closed-form multistate model of the new entrant's diffusion, a methodology for the prelaunch calibration of dynamic models in practice, and insights into defensive strategies for existing companies facing new entrants.

 https://www.semanticscholar.org/paper/A-Prelaunch-Diffusion-Model-for-Evaluating-Market-Roberts-Nelson/584503e8b9998fd9703fa32e0ba0358ee8ecf267

Incumbent Defense Strategies Against New Product Entry Incumbent Defense Strategies Against New Product Entry 

Hubert Gatignon 

INSEAD 

Thomas S. Robertson 

University of Pennsylvania 

Adam J. Fein 

University of Pennsylvania

Wharton Faculty Research, 5-1997

https://repository.upenn.edu/cgi/viewcontent.cgi?article=1224&context=mgmt_papers