What are the advantages and disadvantages of being a first mover, second mover, and late mover?
What will be an ideal response?
First movers can gain market share, customer loyalty, and high revenues by being the first in the market. But, first movers also take more risk because it is difficult to judge the returns the firm will earn from product innovations. Moreover, if the first mover is successful, other firms will enter its arena. First movers tend to have a significant amount of organizational slack to fund research and development. Second movers imitate the first movers, after they have studied the first movers' successes and mistakes. Consequently, second movers can develop more efficient processes and technologies than first movers, which results in lower costs. Late movers react to the first and second movers' actions after a long delay. A late mover may be able to earn average returns if it has learned how to create at least as much value for customers as the value created by the first and second movers. In general, late movers are relatively ineffective.
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The primary current source of generally accepted accounting principles for nongovernmental operations is the
a. American Institute of Certified Public Accountants. b. Securities and Exchange Commission. c. Financial Accounting Standards Board. d. Governmental Accounting Standards Board.
Why is it important for organizations to conduct post investment audits of capital projects?
The project justification and rationale part of an audit examines the efficiency and effectiveness of the processes associated with the business rationale and business requirements
Indicate whether the statement is true or false
A disadvantage associated with corporate image advertising is its inability to reach a select target market.
Answer the following statement true (T) or false (F)