Sam Walton chose a very different strategy for locating his Wal-Mart discount stores than did his rivals in the 1960s.Specifically,Walton chose to locate his stores in cities that were much smaller than locations chosen by his rivals.Walton believed that once he located a store in these smaller communities,there would be no incentive for a rival discount retailer to build another store in the community.This is an example of ________.

Question

Quizplus · Accepted Answer

Sam Walton's strategy of locating Wal-Mart stores in smaller communities to deter rivals from entering the market is an example of first-mover advantage. This strategy relies on being the first to enter a market, thereby establishing a strong presence that discourages competition.

Sam Walton Chose a Very Different Strategy for Locating His