Post-entry defensive strategy
The objective of a post-entry defensive strategy is to keep the new entrant from building a strong market position.
Post-entry threats come from firms that have already entered the market or from incumbents that are threatening to gain market share with new forms of participation. By this stage, new entrants or incumbents will have made investments, so the stakes are high.
Frequent actions involve introducing “firewall” brands, widening product lines, adopting continuous improvement to outdistance competitors, cross-parrying on a specific market segment, and much more. The logic is to defend one’s market position when the rival is small and weak before it becomes a serious threat.