Effects of Liberalization on Incumbent Firms’ Marketing-Mix Responses and Performance: Evidence from a Quasi-Experiment

Many markets are liberalizing by opening up their economies to foreign competition, with the expectation that this will increase economic growth. While foreign competitors with superior technology and management practices pose serious threats to incumbent firms, they also provide them an opportunity to gain new marketing knowledge. How do incumbent firms respond to liberalization? Can incumbent firms’ marketing-mix responses affect their...