boxer rebellion
First-mover advantage is when a sometimes-insurmountable advantage gained by the first significant company to move into a new market. In other words, the first-mover advantage refers to the first significant company to move into a market, not merely the first company. ... com may not have been the first seller of books online, but Amazon.com was the first significant company to make an entrance into the online book market. The basis of first-mover advantage is simple: by being the first to enter a new market, the business gains an advantage over its actual and potential rivals. ... If the business is first into a market it can capture market share much more easily without having to worry about rivals trying to capture the same customers. Second, when the rivals do come along, the first-mover and its management team will have advantages in the ensuing competition, such as familiar products, brand loyalty, the best retail outlets, up-and-running distribution systems, and so on. By beating rivals into the market, the first-mover can consolidate its position and compete more effectively, not only defending its previously acquired share but also even continuing to expand. ... Knowledge management is another area where the importance of first-mover advantage is implicit. In the future, a companys only sustainable competitive advantage is its ability to learn faster than its competitors (Arie de Geuss, 1989) One of the great first-movers of all time was the 18th-century businessman Richard Arkwright, the inventor of the modern factory system. ... In modern times, one of the most famous exemplars of first-mover advantage as a basis for corporate strategy is the Japanese electronics maker Sony. ... First movers may enjoy economies of scale. ... Early commitments to supplies of raw materials, new technologies, distribution channels and so on can produce an absolute cost advantage over rivals. ... First time customers remain strongly loyal to the pioneering firms in making repeat purchases.