In New Product Development, What Advantage Do First Movers Have

question 121

Essay

In new product development, what advantage do first movers have?

---

Definitions:

Financial Advantage

The benefit gained in a financial context, such as lower costs, higher revenues, or competitive superiority.

Outside Supplier

An entity or company that provides goods or services to another company from outside the purchasing company's internal structure.

Variable Costs

Costs that change in proportion to the level of goods or services produced by a business.

Net Operating Income

The total profit derived from a company's normal business operations after subtracting operating expenses but before taxes and interest.