Theory: War chest dynamics affect challenger entry. Hypotheses: Large war chests deter challengers from entering. High quality challengers should be particularly influenced. Methods: Repeated measures analysis of variance and duration analysis with time varying covariates and temporally disaggregated war chest data are employed. Results: The primary contribution of this paper is the empirical evidence that war chests affect entry decisions of high quality challengers.
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Janet M. Box‐Steffensmeier (1996) studied this question.
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