Tellis and Golder identify the foll

Tellis and Golder identify the following five factors and rationale as the keys to
enduring brand leadership.

Vision of the Mass Market
Companies with a keen eye for mass market tastes are more likely to build a
broad and sustainable customer base. Although Pampers was not the market
leader in the disposable diaper category during its first several years, it spent
significantly on research and development in order to design an affordable and
effective disposable diaper. Pampers quickly became the market leader.
Managerial Persistence
The “breakthrough” technology that can drive market leadership often
requires the commitment of company resources over long periods of time. For
example, JVC spent 21 years researching the VHS video recorder before
launching it in 1976 and becoming a market leader.
Financial Commitment
The cost of maintaining leadership is high because of the demands for research
and development and marketing. Companies that aim for short-term
profitability rather than long-term leadership, as Rheingold Brewery did when
it curtailed support of its Gablinger’s light beer a year after the 1967
introduction of the product, are unlikely to enjoy enduring leadership.
Relentless Innovation
Due to changes in consumer tastes and competition from other firms,
companies that wish to maintain leadership positions must continually
innovate. Gillette, both a long-term leader and historically an innovator,
typically has at least 20 shaving products on the drawing board at any given
time.
Asset Leverage
Companies can become leaders in some categories if they hold a leadership
position in a related category. For instance, Coca-Cola leveraged its success and
experience with cola (Coke) and diet cola (Tab) to introduce Diet Coke in 1982.
Within one year of its introduction, Diet Coke became the market leader.