Undeniably, a strong competitive as well as differential advantage accrues from a "Pioneer Market entry strategy". Some of the potential sources of success for an innovative, pioneering firm with a clear Marketing orientation are briefly summarized as below:
A) The firm's Marketing management has a first choice of market segments,targets and positions. Most pragmatically, we live in a competitive, saturated business world. Saturation could be best defined as few players controlling a large percentage of the market or too many players controlling small bits and pieces of a market. A pioneer firm has the "once and for all" opportunity to develop product-service business offerings with attributes most significant to the largest customer segment of the market. Moreover, a pioneering firm is able to promote the critical attributes that favor its brand. In this sense, such a firm may create a substantial competitive / differential advantage regarding equally active firms for a long period of time.
B) A pioneer firm sets the rules of the game regarding a broad scale of Marketing best practices (for example: development of unique distribution network, pricing schemes). This is indeed a hard business reality for following firms. The pioneer, innovative firm truly sets the benchmarks for everyone else to follow in the long run. No doubt, customers listen first to the experts - pioneers that have invested financial and human resources addressing their needs and wants.
C) There are considerable financial benefits for the pioneering firm. Clearly, the market pioneer firm can gain accumulated sales and hence considerable return on investment (for example: market share in volumes and values) and experience and thereby decrease per unit expenses faster than the following firms.
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