Mature markets usually boil down to two primary brands, like Coke & Pepsi, that own 80 - 90% of the market. It is extremely difficult for a smaller competing company to dislodge the #2 player, let alone #1, in a head-to-head approach. Dolmar/Makita's best bet is to discover an unserved or underserved niche & market the right product to own that niche. Their overall market share won't be as large, but their category position will be more secure.
Another possibility is to develop or introduce a disruptive technology - something that scratches an itch that other manufacturers have ignored - then try to work their way up to competing products. This is what Honda did when they brought their tiny Civics and Accords to the States in the late 60s - early 70s; these cars served very basic transportation needs and got exceptional gas mileage, while most American cars weren't nearly as fuel-efficient. The gas crisis of the early 70s helped the Honda brand get a foothold; then the cars began moving up the product food chain by making them gradually larger & more luxurious. Today, the Accord especially is substantially more car than it was when introduced; it's no longer an entry-level vehicle.
As TreePointer pointed out, they could develop the most technologically advanced saw . . . but that won't help if the other P's (price, promotion, distribution) can't support the product.
Sumptin' like that,
Ma