Pioneering gain
Pioneering gain (or head start ; English pioneering advantage ) is a dynamic gain in economics that arises in particular through product innovations .
history
In 1911, in his work Theory of Economic Development, the economist Joseph Schumpeter described a dynamic entrepreneur (pioneer entrepreneur ) who became a monopoly through his innovation . It stays that way until imitators appear or its innovation fades due to other developments. The introduction of new production methods , the opening up of new sales markets or the acquisition of new sources of procurement for raw materials , consumables and supplies could also bring the monopolist a profit, which Erich Preiser only named pioneering profit in 1955.
causes
The prerequisite for pioneering profits are product innovations that arise through research and development . Innovations in other areas (new production methods or sales markets) also lead to pioneering profits. A company that has brought a new product to market maturity first and can thus achieve a competitive advantage over other companies achieves pioneering profits . This company can achieve higher market prices from which the research and development costs incurred can be amortized.
Dynamic profit
In addition to the pioneering profit , the market situation profit is one of the dynamic profits. The profit from the market situation is - unlike the pioneer profit - an unplanned chance win. The pioneering profit, on the other hand, arises from planned product innovations and represents an incentive for companies to develop new products through research and development in order to be able to achieve a pioneering profit. However , it seems questionable whether the profit from pioneers will regularly be eliminated again in the medium term through functioning competition or other events. In this regard, Preiser notes that the pioneering profit often solidifies into “monopoly rent” and is therefore both a “lever for economic growth” and the basis for increasing the degree of monopoly in the economy as a whole.
Individual evidence
- ↑ Joseph Schumpeter: Theory of Economic Development . 1911, p. 78.
- ↑ Erich Preiser: Multiplier process and dynamic entrepreneurial profit In: Year books for economics and statistics . Volume 167, 1955, pp. 127-140.
- ↑ Erich Preiser, Education and Distribution of National Income , 1961, p. 163