City Research Online

Abstract

In emerging industries characterized by several technological generations giving rise to multiple submarkets that emerge at different points in time, start-ups entering with novel technologies encounter markets at varying development stages and are confronted with the choice to enter either a nascent or an established market. We study the solar photovoltaic industry between 1985 and 2017 to examine how founders’ pre-entry experience along the industry value chain helps them navigate this complex decision. We find that founders with upstream industry experience possess operational acumen and manufacturing knowledge, prompting them to favor established markets. Conversely, founders with focal industry experience, guided by their unique insights into new applications and the limitations of existing technologies in fulfilling emerging customer needs, are more inclined to enter nascent markets.

Publication Type:	Article
Additional Information:	© 2025 The Author(s). Strategic Management Journal published by John Wiley & Sons Ltd. This is an open access article under the terms of the Creative Commons Attribution License, which permits use, distribution and reproduction in any medium, provided the original work is properly cited.
Publisher Keywords:	emerging industries, entry strategy, nascent markets, pre-entry experience along the value chain, solar photovoltaics
Subjects:	H Social Sciences > HB Economic Theory
Departments:	Bayes Business School Bayes Business School > Management
SWORD Depositor:	Symplectic Administrator

Export

Downloads