First Mover.

 

In the light of Markides and Geroski (2005), “first mover advantages are almost permanent competitive advantages that early movers can realize and use to protect themselves against the competitive threats of later-moving, imitative entrants. They come from being first to the mass market, but, as we have just seen, this is not the same as being first in the market.” Through spending lots of years to researching the most suitable capsules for the coffee machine, Nestlé finally gained the core technology of capsules system, which others cannot easily covet or copy in a short period. Meanwhile, it helps Nespresso to be the first mover in the specific coffee machine market and to reach no serious stress from competitors because of its high competitive threshold. According to Aragall and Montana (2012), Nespresso keeps participating in many different types of innovative products competition, which not just pushes Nespressso to maintain high quality and dominant in the market, but also improve its technology of coffee machine that make it as the first mover in different areas around the world. Take capsules system as an example, before this kind of technology was invented, there are various coffee machines already in the market. With the continuous trials and researching, Nespresso successfully combined with the unique capsules in the machine, and became the first mover in the new style coffee machine market. Till now, it is still at the state of the art that brings fresh way of living styles by continuous innovative ambitions and technologies.