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Followers' entry timing: evidence from the Spanish banking sector after deregulation
Author(s) -
Fuentelsaz Lucio,
Gomez Jaime,
Polo Yolanda
Publication year - 2002
Publication title -
strategic management journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 11.035
H-Index - 286
eISSN - 1097-0266
pISSN - 0143-2095
DOI - 10.1002/smj.222
Subject(s) - diversification (marketing strategy) , deregulation , barriers to entry , industrial organization , business , competence (human resources) , dimension (graph theory) , marketing , economics , economic geography , market economy , management , market structure , mathematics , pure mathematics
Much of the literature dedicated to the analysis of entry timing decisions has been devoted to the study of their consequences in terms of performance. However, only a limited amount of effort has been dedicated to analyzing the factors that determine these decisions. In addition, previous papers have centered their efforts on the product dimension, paying no attention to entry into new geographical markets. This paper departs from previous works in this respect and extends the entry timing literature through a consideration of the geographical side of entry. Our analysis shows that organizational size, organizational competence, and organizational experience appear as key factors when explaining the pattern of geographic diversification. Our results also indicate that diversification takes place sequentially, first proceeding to closer locations, then occupying markets further from the origin. Copyright © 2002 John Wiley & Sons, Ltd.