When a First Mover Does Not Have Complementary Assets, Barriers

question 52

Multiple Choice

When a first mover does not have complementary assets, barriers to imitation are high, and there are several capable competitors, the first mover should:

• A) license the innovation to others.
• B) enter into a joint venture to protect the product.
• C) lower the barriers for imitation.
• D) sell the technology outright to another firm.
• E) wait until competitors develop an alternative product.

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Definitions:

Health Maintenance Organizations (HMOs)

Health care providers that contract with employers, insurance companies, labor unions, or government units to provide health care for their workers or others who are insured.

Physical Training

A regimen or program of physical activities designed to improve fitness, strength, or endurance.

Patient Protection and Affordable Care Act (PPACA)

A federal statute signed into law in 2010 aimed at reducing healthcare costs and increasing health insurance coverage to Americans.