One of the major advantages of being the first to develop a product is
A) an increase in the average total cost of production.
B) less need for legal protection for the product.
C) the opportunity to be bought out for a profit.
D) the ability to use the fast-second strategy.

Question

Quizplus · Accepted Answer

Being the first to develop a product gives the entrepreneur a competitive advantage in terms of capturing a larger market share and building a brand reputation. This can lead to the opportunity to sell the product or the company for a profit. However, there may still be a need for legal protection to prevent copycats from replicating the product. The fast-second strategy is typically used by companies that enter the market after the product has already been established and can quickly catch up to the leader's market share. Therefore, options A and D are incorrect.

One of the Major Advantages of Being the First to Develop