By mixing and matching them, Bryce and Dyer say, enterprises can defy half a century of economic logic and make money entering highly profitable industries. These approaches may appear to be simple, but their magic lies in their combination.

They leverage their existing assets and resources, reconfigure their value chains, and create niches. Successful entrants use three basic approaches in their indirect attacks. In 2005 it enjoyed a 65% share of the $650 million energy drink market. After gaining a loyal following through these outlets, Red Bull elbowed its way into the corner store. The company started by selling the drink at bars and nightclubs. Red Bull, by contrast, came on the scene in 1997 with a niche product: a carbonated energy drink. Virgin has never garnered more than a 1% share of the market. cola market in 1998, it advertised heavily and immediately tried to get into the retail outlets that stock the leading brands. Recent battles in the soft drink industry-where brands, bottling and distribution capabilities, and shelf space are incumbents’ main advantages-are a case in point. Instead, they attack the enemy at its weakest points then gain competitive advantage and later, if doing so meets their objectives, go after its strongholds. Smart newcomers don’t duplicate existing business models, compete for crowded distribution channels, or go after mainstream customers right away. When they dissected the strategies that worked best, one common theme stood out: indirect assault. How can companies break into attractive markets, where incumbents erect many barriers to entry? To answer this question, the authors studied organizations that successfully entered the most profitable industries in the United States between 19.

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