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The purpose of this study is to empirically investigate the impact of incumbents’ defensive strategies, specifically price-cut and capacity expansion, on new entrants’ (NEs) exit decisions and examine the moderating role of incumbents’ relational market-based assets (RMBAs).

Drawing upon real options theory, an empirical study using logistic regression is conducted on a rich, multi-market data set of NE exits between 1997 and 2019 in the U.S. airline industry.

Contrary to intuitive expectation, the results show that cutting prices in response to entry reduces NEs’ likelihood of market exit. However, when incumbents possess strong RMBAs, using a price cut proves to be effective in pushing NEs out of a market. Moreover, an NEs’ exit likelihood is higher when incumbents expand capacities in response to entry.

In this study, market exit is defined as a complete withdrawal from the market and operationalized as a binary variable. Future research could examine different degrees of downscaling by NEs while remaining in the market.

This research demonstrates the opposing effects of price-cut and capacity expansion and the crucial role of RMBAs and advises managers to be cautious and consider trade-offs when implementing their defensive strategies to push NEs out of their markets.

This study contributes to the literature by examining the impact of incumbents’ defensive strategies, price-cut and capacity expansion, side by side and exploring the moderating role of RMBAs. Extant research has focused on antecedents of defensive strategies, whereas the consequences are the focus of this research.

This study aims to investigate the influence of online opinion leadership and opinion seeking the intention to purchase and purchase behaviour of organic food in Saudi Arabia.

This study used an online questionnaire as a method to collect data from Instagram users in Saudi Arabia. Statistical analysis was performed using the SmartPLS to test the research model.

The study demonstrates the links between the perceived benevolence of the opinion leadership through Instagram and purchase behaviour of organic food and between opinion seeking and intention to purchase.

This study provides insights into the favourable impact of opinion leadership and opinion seeking on consumers’ intention to purchase and purchase behaviour for marketers, especially in the organic food sector of a Middle Eastern context.

Prior studies have investigated the impact of opinion leadership and opinion seeking on purchase behaviour, but not within the organic food sector. This study attempts to fill this gap in the literature by providing useful insights to enhance the understanding of the influence of online opinion leadership on purchase behaviour of organic food. This study also makes a valuable contribution to organic food research in Middle East countries, where there is a lack of research on organic food purchase behaviour.