This study attempts to study the relationship between new product announcements in strategic interaction and the impact on market reaction with the factors of response delay and industry concentration in consideration. Imploring the event study methodology and different tests of correlation, Pearson, variance inflation factor, and mean-centering, the paper accesses three major research questions: 1) the relationship between initiator and responders market reaction, 2) the moderating effect of response delay on both, and 3) the moderating effect of industry concentration on initiators. We find that industry concentration plays a significant role in strategic interaction. On the other hand, previous research that found significance in response and a strategic interaction are now under review since no support was found in this research. Other contributions include that there is a negative abnormal return found for new product introduction. This study hopes that the integration of different factors of competitive dynamics will help further the academic and practical areas of business.

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