The authors provide an empirical test of the effects of competition on the adoption of technological innovations by organizations. They follow the conceptualization developed in the model they proposed previously in the Journal of Marketing. An empirical study of the factors accounting for the adoption or rejection of a high technology innovation is reported. The results suggest that firms most receptive to innovation are in concentrated industries with limited price intensity and that supplier incentives and vertical links to buyers are important in achieving adoption. The results also suggest that adopters can be separated from nonadopters by their information-processing characteristics.
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