The Chief Disadvantage of Being a First Mover Is The

question 103

Multiple Choice

The chief disadvantage of being a first mover is the:

• A) high degree of risk.
• B) high level of competition in the new marketplace.
• C) inability to earn above-average returns unless the production process is very efficient.
• D) difficulty of obtaining new customers.

Analyze how competitive pressures among firms are shaped by various factors, including industry growth, buyer power, and market competition.

Understand the purpose and scope of the Lanham Act in trademark protection.

Recognize the historical and societal context of consumerism movements.

Identify various U.S. federal laws designed to protect consumers and their specific functions.

---

Definitions:

Compounded Monthly

An interest calculation method where interest is added to the principal once a month, affecting the overall interest earned or paid.

GICs

Known as Guaranteed Investment Certificates in Canada, these investments assure a certain rate of return within a predetermined period.

Investor

An individual or organization that allocates capital with the expectation of receiving financial returns.

Rate

The percentage at which interest is charged or paid, or a measure of change over time.