Porter's PaleAle is considering small-scale entry into the European market. What would be a disadvantage of small-scale entry for this firm?
A) possibility of escalating commitment leading to major financial losses
B) limited availability of resources for use in other markets
C) lack of flexibility associated with strategic commitments
D) increase in economic exposure due to minimal time spent in evaluating a foreign market
E) difficulty of building market share and capturing first-mover advantages

Question

Quizplus · Accepted Answer

Small-scale entry may make it difficult for Porter's PaleAle to build significant market share and capture first-mover advantages, as they may not have the resources or presence to compete effectively against established players.

Porter's PaleAle Is Considering Small-Scale Entry into the European Market