In Which of the Following Instances Are First-Mover Disadvantages Not

question 42

Multiple Choice

In which of the following instances are first-mover disadvantages not likely to arise?

• A) When the costs of pioneering are much higher than being a follower and only negligible buyer loyalty or cost savings accrue to the pioneer
• B) When rivals are employing offensive strategies rather than defensive strategies
• C) When the products of an innovator are somewhat primitive and do not live up to buyer expectations
• D) When buyers are skeptical about the benefits of a new technology or product being pioneered by a first mover
• E) When rapid market evolution (due to fast-paced changes in technology or buyer preferences)gives fast followers and maybe even cautious late movers the opening to leapfrog a first mover's products with more attractive next-version products

Grasp the financial mechanics and journal entries related to issuing common stock, including transactions above or below par value.

Recognize the effects of corporate organizational structure on decision-making and policy implementation.

Differentiate between the rights and limitations of common stockholders.

Determine the valuation and accounting for property and stock transactions.

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