The __________ firm that enters a foreign market on a small scale may limit its potential losses,but it may also miss the chance to capture first-mover advantages.

Question

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A risk-averse firm that enters a foreign market on a small scale may limit its potential losses, but it may also miss the chance to capture first-mover advantages. By being cautious about the level of investment and commitment, the firm may limit its downside risks but may also miss out on opportunities for growth and expansion. This approach may be appropriate for firms that are not certain about the opportunities in the new market or lack the resources to compete effectively with larger, established firms. However, it may not be the best strategy for firms that have a clear understanding of the market and the potential for growth, as they may lose out to more aggressive competitors who are willing to take on more risk.

The __________ Firm That Enters a Foreign Market on a Small