A firm that is willing to maintain its market share, and not attack the leader and other competitors in an aggressive bid for further market share, is known as a ________.
A) market challenger
B) market leader
C) market follower
D) market nicher
E) market entrant

Question

Quizplus · Accepted Answer

A market follower is a firm that does not aggressively try to capture more market share and instead focuses on maintaining its current market share. Market challengers, on the other hand, actively try to gain market share from the leader and other competitors. A market leader is the company occupying the largest market share in the industry, while a market nicher focuses on a small, specialized segment of the market. A market entrant is a new company entering the market.

A Firm That Is Willing to Maintain Its Market Share