| The first-mover into a market or business opportunity may acquire advantages over competitors which translate into value. However, despite numerous studies to understand and quantify first-mover advantages, leaders remain uncertain over the timing and circumstances of market entry to optimize value. The purpose of this qualitative case study was to develop new theory with the potential to increase understanding of first-mover advantage. Research was conducted from a resource-based perspective by exploring the capture of scarce natural-resources. Leaders from eight organizations participated in study interviews and four themes emerged from analysis of the data. First, the ownership of initial resources, in the form of oil and gas leases, mineral rights, and fee ownership were found to provide advantages in resource acquisition costs, royalty burdens, infrastructure, and flexibility in timing of development. Initial resources, in terms of technology, know-how, and geosciences were also found to create advantages. Secondly, access to capital for capture and development of resources was found to create competitive advantage by allowing economies of scale and integration opportunities to be realized. Thirdly, cost efficiencies related to the early capture of materials and services and deferral of market entry were also found to create advantages. Fourth, an awareness and mitigation of the inordinate influence of subjective factors, such as culture and reputation, on market-entry strategy was found to create competitive advantage. The results of this study provide information that may help leaders employ actions optimizing organizational value through future market-entry decisions. |
