Lee Peterson has invented a new product that detects water leaks due to broken pipes and sends out an alarm similar to a smoke alarm.However,Lee has very little personal money to invest in improving this new product.Seeing his initial technical success,major corporations have now entered the market with competing products.What will be the probable destiny of Lee Peterson's company?
A) His company will most likely be overtaken by a larger company or it will go out of business.
B) His company will remain in the top spot due to its head start.
C) His company will enjoy commercial success because the entry of other companies will add more legitimacy to the product.
D) His company will grow rapidly introduce several other related products.

Question

Quizplus · Accepted Answer

Lee Peterson's lack of personal funds to invest in the product and the entry of major corporations with competing products make it highly likely that his company will be overtaken by a larger company or go out of business. The competition will make it difficult for his company to maintain its market share, especially if the larger companies have better resources to improve and market their products.

Lee Peterson Has Invented a New Product That Detects Water