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Technological Innovation as a Gateway to Entry: The Case of the Telecommunications Equipment Industry

Dowling, Michael ; Ruefli, Timothy



Abstract

This study first reviews the concept of entry barriers in the economics and strategic management literature and investment in innovation as a particular kind of barrier to entry. An argument is then presented that one can also view, from the perspective of the entrant, innovation as a gateway into a changing industry. Data from the telecommunications equipment industry during the period 1975–1986 ...

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