Diskusi 3 Bahasa Inggris Niaga

After studying the third Session Topic entitled 'First Mover Advantage' and also watching a video
on the same topic, answer the following questions:

1.What are the advantages of becoming First Movers in business?

2. What are the challenges of becoming First Movers? 

3. What does a First Mover do in order to survive the market?

Answers :

1. a) Brand name recognition is the main first-mover advantage. Not only does it engender
loyalty among existing customers, but it also draws new customers to a company's product,
even after other companies have entered the market. Brand name recognition also positions
companies to diversify offerings and services. Examples of dominant brand name recognition
of a first mover include soft drink colossus Coca-Cola (NYSE: KO), auto-additive giant STP
(NYSE: ENR), and boxed-cereal titan Kellogg (NYSE: K).

b) Economies of scale, particularly those regarding manufacturing or technology-based

products, is a massive advantage for first movers. The first mover in an industry has a longer
learning curve, which frequently enables it to establish a more cost-efficient means of
producing or delivering a product before it competes with other businesses.

c) Switching costs let a first mover build a strong business foundation. Once a customer has
purchased the first mover's product, switching to a rival product may be cost prohibitive. For
example, a company using the Windows operating system likely would not change to another
operating
2. First movers in an industry are almost always followed by competitors that attempt
to capitalize on the first mover's success and gain market share.
3. the company should build a strong brand recognition and sufficient market share and a
customer base strong enough to sustain a large proportion of the market.