Which of the Following Is a Difference Between First Movers

question 37

Multiple Choice

Which of the following is a difference between first movers and late movers?

• A) First movers take advantage of the inflexibility of late movers,whereas late movers may be locked into a given set of fixed assets.
• B) First movers face greater technological and market uncertainties,whereas late movers take advantage of the solutions of the first movers.
• C) First movers may be able to free ride on the huge pioneering investments of late movers,whereas late movers have to make preemptive investments.
• D) First movers attract more late entrants,whereas late movers erect entry barriers for further entrants.

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Definitions:

Short-Term Creditors

Short-term creditors are lenders or suppliers to whom a company owes money that is due to be paid back within a short period, typically within one year.

Liquidity

A measure of how easily assets can be converted into cash without significant loss of value.

Supplier

A party that provides goods or services to another entity, typically in a B2B (business-to-business) relationship.