New entrants who are diversifying from outside an industry are not always at a cost disadvantage.

Question

Quizplus · Accepted Answer

New entrants who are diversifying from outside an industry may bring new perspectives and innovative ideas that can give them a competitive advantage despite not having prior industry experience. However, this may not always hold true in every case and it ultimately depends on various factors such as the nature of the industry, the degree of competition, and the resources available to the new entrant.

New Entrants Who Are Diversifying from Outside an Industry Are