Understanding evolutionary processes in non-manufacturing industries: Empirical insights from the shakeout in pharmaceutical wholesaling

Journal of Evolutionary Economics

Volumn 8, Issue 3, 1998, Pages 231-270

  Fein, Adam J ^a  

^a Pembroke Consulting   (United States)

Author keywords

Marketing; Production and market structure; Retail and wholesale trade; Size distribution of firms; Technological change: Choices and consequences

Indexed keywords

EID: 0032220203     PISSN: 09369937     EISSN: None     Source Type: Journal    
DOI: 10.1007/s001910050063     Document Type: Article

References (73)

1. Aaker DA (1995) Strategic market management, 4th edn. Wiley, New York
2. Aaker DA, Day GS (1986) Perils of high-growth markets. Strategic Management Journal 7: 409-421
3. Anderson A (1992) Facing the forces of change 2000. Distribution Research and Education Foundation, Washington, DC
4. Baum JAC, Korn HJ, Kotha S (1995) Dominant designs and population dynamics in telecommunications services: Founding and failure of facsimile transmission service organizations, 1965-1992. Social Science Research 24: 97-135
5. Beier F (1995) The management of the supply chain for hospital pharmacies: A focus on inventory management practices. Journal of Business Logistics 16 (2): 153-173
6. Bucklin L (1972) Competition and evolution in the distributive trades. Prentice-Hall, Englewood Cliffs, NJ
7. Clemons E, Row M (1987) McKesson drug company: A case study of economost - A strategic information system. Journal of Management Information Systems 5 (1): 36-50
8. Collett D (1994) Modeling survival data in medical research. Chapman and Hall, New York
9. Copeland TE, Weston JF (1988) Financial theory and corporate policy, 3rd edn. Addison-Wesley, Reading, MA
10. Curry B, George K (1983) Industrial concentration: A survey. Journal of Industrial Economics 31: 203-256
11. Day GS (1994) The capabilities of market-driven organizations. Journal of Marketing 58 (4): 37-52
12. Dierickx I, Cool K (1989) Asset stock accumulation and sustainability of competitive advantage. Management Science 35 (12): 1504-1511
13. Dixit A, Shapiro C (1986) Entry dynamics with mixed strategies. In: Thomas LG (ed) The economics of strategic planning. Lexington Books, Lexington, MA
14. Drug Store News (1994) A year of subtle, smart progress - Chain drug industry 1993 retailer overview. Drug Store News 20: 20
15. Fay JT, Jr (1987) NWDA: 1876-1986 Centennial Plus Ten. National Wholesale Druggists' Association, Alexandria, VA
16. Fein AJ (1997) Consolidation in wholesale distribution: Understanding industry change. Distribution Research and Education Foundation, Washington, DC
17. Feldman M, Schreuder Y (1996) Initial advantage: The origins of the geographic concentration of the pharmaceutical industry in the mid-atlantic region. Industrial and Corporate Change 5 (3): 839-862
18. Geroski PA, Masson RT, Shaanan J (1987) The dynamics of market structure. International Journal of Industrial Organization 5 (1): 93-100
19. Ghemawhat P, Nalebuff B (1985) Exit. RAND Journal of Economics 16: 184-194
20. Gort M, Klepper S (1982) Time paths in the diffusion of product innovations. Economic Journal 92: 630-653
21. Guiltinan JP (1974) Planned and evolutionary changes in distribution channels. Journal of Retailing 50 (2): 79-91
22. Hannan TH, Rhoades SA (1987) Acquisition targets and motives: The case of the banking industry. The Review of Economics and Statistics 69: 67-74
23. Harrigan KR (1982) Exit decisions in mature industries. Academy of Management Journal 25(4): 707-732
24. Haspeslagh PC, Jemison DB (1991) Managing acquisitions. Free Press, New York
25. Hennart J-F, Park Y-R (1993) Greenfield vs. acquisition: The strategy of Japanese investors in the United States: Management Science 39 (9): 1054-1070
26. Hill NC, Swenson MJ (1994) The impact of electronic data interchange on the sales function. Journal of Personal Selling & Sales Management 14 (3): 79-87
27. International Directory of Company Histories (1988) St. James Press, Chicago
28. International Directory of Company Histories (1992) St. James Press, Chicago
29. International Directory of Company Histories (1996) St. James Press, Chicago
30. Jovanovic B (1982) Selection and the evolution of industry. Econometrica 50 (2): 649-670
31. Jovanovic B, MacDonald G (1994) The life cycle of a competitive industry. Journal of Political Economy 102 (2): 322-347
32. Klepper S (1996a) Entry, exit, growth, and innovation over the product life cycle. American Economic Review 86 (3): 562-583
33. Klepper S (1996b) Evolution, concentration, and firm survival. Mimeo, Carnegie-Mellon University
34. Klepper S, Graddy E (1990) The evolution of new industries and the determinants of market structure. RAND Journal of Economics 21: 27-44
35. Kremers E, Urdang G (1951) History of pharmacy: A guide and a survey, 2nd edn. Lippincott, Philadelphia, PA
36. Levinthal D (1996) Adaptation in rugged landscapes. Department of Management, working paper, The Wharton School, University of Pennsylvania
37. Livesay HC, Porter PG (1969) Vertical Integration in American Manufacturing, 1899-1948. Journal of Economic History 29: 494-500
38. Lusch RF, Zizzo D (1995) Competing for customers: How wholesaler-distributors can meet the power retailer challenge. Distribution Research and Education Foundation, Washington, DC
39. Milgrom P, Roberts J (1990) The economics of modern manufacturing: Technology, strategy, and organization. American Economic Review 80 (3): 511-528
40. Milgrom P, Roberts J (1995) Complementarities and fit: Strategy, structure, and organizational change in manufacturing. Journal of Accounting & Economics 19 (2): 179-208
41. Mitchell W (1994) The dynamics of evolving markets: The effects of business sales and age on dissolutions and divestiture. Administrative Science Quarterly 39: 575-602
42. Morison WM, Drohan TD (1978) The story of Foremost-McKesson, Inc.. The Newcomen Society, San Francisco, CA
43. National Wholesale Druggists' Association (1992, 1993, 1994, 1995, 1996) NWDA Fact Book. National Wholesale Druggists' Association, Reston, VA
44. National Wholesale Druggists' Association (1950, 1952, 1954, 1960, 1965, 1970, 1978-1996) NWDA Operating Survey. National Wholesale Druggists' Association, Reston, VA
45. Nelson RR, Winter SG (1982) An evolutionary theory of economic change. Harvard University Press, Cambridge, MA
46. Nelson R (1995) Recent evolutionary theorizing about economic change. Journal of Economic Literature 33: 48-90
47. Oswald S, Boulton WR (1995) Obtaining industry control: The case of the pharmaceutical distribution industry. California Management Review 38 (1): 138-162
48. Palepu K (1986) Predicting takeover targets: A methodological and empirical examination. Journal of Accounting and Economics 8: 3-35
49. Phillips A (1971) Technology and market structure. Heath, Lexington, MA
50. Porter ME (1980) Competitive strategy. Free Press, New York
51. Porter ME (1996) What is strategy? Harvard Business Review (November-December), pp 61-78
52. Reichheld FF (1996) The loyalty effect: The hidden force behind growth, profits, and lasting value. Harvard Business School Press, Boston, MA
53. Reardon J, Reardon L (1995) The restructuring of the hospital services industry. Journal of Economic Issues 29 (4): 1063-1081
54. Schary MA (1991) The probability of exit. Rand Journal of Economics 22 (3): 339-353
55. Scherer FM, Ross D (1990) Industrial market structure and economic performance. Houghton Mifflin, Boston, MA
56. Schwartzmann D, Bodoff J (1972) Concentration in regional and local industries. The Southern Economic Journal 37(3): 343-348
57. Shaked A, Sutton J (1987) Product differentiation and industrial structure. Journal of Industrial Economics 36 (2): 131-146
58. Starr P (1982) The social transformation of American medicine. Basic Books, New York
59. Stern LW, El-Ansary A (1992) Marketing channels, 4th edn. Prentice-Hall, Englewood Cliffs, NJ
60. Stigler GJ (1950) Monopoly and oligopoly by merger. American Economic Review 40 (2): 23-34
61. Stigler GJ (1951) The division of labor is limited by the extent of the market. Journal of Political Economy 59 (3): 185-193
62. Suarez FF, Utterback JM (1995) Dominant designs and the survival of firms. Strategic Management Journal 16: 415-430
63. Sutton J (1991) Sunk costs and market structure: Price competition, advertising, and the evolution of concentration. MIT Press, Cambridge, MA
64. Sutton J (1997) Gibrat's legacy: Journal of Economic Literature 35: 40-59
65. Szulanski G (1994) Unpacking stickiness: An empirical investigation of the barriers to transfer best practice inside the firm. Academy of Management Best Papers Proceedings, pp 437-441
66. The Wall Street Journal (1995) When things go wrong, November 18, 1995
67. The Wall Street Journal (1997) Merger mania among drugstores is likely to continue, January 2, 1997
68. Utterback JM, Suarez FF (1993) Innovation, competition, and industry structure. Research Policy 22(1): 1-21
69. Utterback JM, Abernathy WJ (1975) A dynamic model of product and process innovation. Omega 3(6): 639-656
70. Walker Jr OC, Boyd Jr HW, Larreche J-C (1992) Marketing strategy: Planning and implementation. Irwin Homewood, IL
71. Willard GE, Cooper AC (1985) Survivors of industry shakeouts. Strategic Management Journal 6: 299-318
72. Winter SG (1987) Knowledge and competence as strategic assets. In: Teece D (edn.) The competitive challenge. Ballinger, Cambridge, MA
73. Winter SG (1995) The four R's of rofitability: Rents, resources, routines, and replication. In: Montgomery C (ed) Resource-based and evolutionary theories of the firm. Kluwer Academic Publishers, Norwell, MA