A benefit of being a second mover is:
A) an absence of the need to be the largest firm in the industry.
B) that a firm may be able to respond to first movers' competitive actions while avoiding the risks and development costs experienced by the first movers.
C) the absence of any risk.
D) the ability to lead the industry into new areas of product development and gain customer loyalty from its move.

Question

Quizplus · Accepted Answer

Being a second mover allows a firm to observe the actions of first movers and potentially avoid costly mistakes or development costs. They can also respond strategically to first movers' actions and gain a competitive advantage. However, being a second mover does not guarantee the absence of risk or the ability to lead the industry in new areas.

A Benefit of Being a Second Mover Is