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FIRST AND LATE MOVERS’ PATTERNS OF COMPETITIVE BEHAVIOR: CASE OF TAIWAN WIRELESS TELECOM INDUSTRY
Thesis

FIRST AND LATE MOVERS’ PATTERNS OF COMPETITIVE BEHAVIOR: CASE OF TAIWAN WIRELESS TELECOM INDUSTRY

Serge P. Nabyoure
Masters, 國立清華大學, 國際專業管理碩士班
2009

Abstract

First mover Late mover Asia Pacific Telecom Taiwan Mobile FarEasTone Vibo
The advantages that companies derive from pioneering in any field have been largely and well documented since the work of M. B. Lieberman and D. B. Montgomery (1988). Following their study, many scholars have focused their works more on determining the advantages that pioneers may be able to develop and hold over years, and on explaining the nature and the range of these advantages. Meanwhile, few have tried to investigate what first movers concretely do in terms of strategy to achieve first-mover advantages or how their resources support their strategies. Moreover, it is not clear how first movers act differently from the late movers. In a dynamic model that only looks at the patterns of price and service strategies, and where we only considered the volume of the competitive actions carried out by every firm, we were able to find out that price strategy is all about price-cuts and discounts of basic offerings (Communication, Content and Handset) and service competition, all about Entertainment. We have also come to observe that first-movers have had different approaches to the market in regard with price and service strategies but a common one in regard with internal resources. Finally, we observed that foreign partners with longstanding experience in wireless telecommunication are key element in entering the industry, gaining consumers’ trust and successfully running the business.

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