Which of the Following Statements About Small-Scale Entry Is True

question 15

Multiple Choice

Which of the following statements about small-scale entry is true?

• A) The commitment associated with a small-scale entry makes it possible for the small-scale entrant to capture first-mover advantages.
• B) Small-scale entry is a way to gather information about a foreign market before deciding whether to enter on a significant scale.
• C) By giving a firm time to collect information, small-scale entry increases the risks associated with a subsequent large-scale entry.
• D) Small-scale entry limits a firm's ability to learn about a foreign market thereby also limiting the firm's exposure to that market.