Challenging the Monopoly Giant: Market Challenger Premium as Competitive Advantages

Market challengers frequently disrupt established incumbents with innovative ideas or novel business models. Yet, they frequently face high entry barriers and the entrenched power of incumbents. Even when challengers provide products or services better aligned with the market, competing effectively can remain difficult, particularly in monopoly-dominated sectors. This paper presents a case study of ViuTV entering Hong Kong’s monopoly-led free-to-air TV market. We identify IFH (innovation, freshness, hope) strategies for challengers to gain competitive advantage, leading to the emergence of a “market challenger premium” as a unique competitive edge. We also examine the role of customer cognitive biases and the importance of openly declaring direct competition between challengers and incumbents.