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first-mover disadvantage

first-mover disadvantage

7.6
A problem when a company enters a market before others, like high costs or being copied
  • noun
  • /fɜrstˈmuːvər dɪsədˈvæntɪdʒ/
  • Specialized
translation icon : desventaja del primer en mover
  • Entering the market early exposed the company to a first-mover disadvantage as competitors quickly improved on its ideas.

Examples

  • The first-mover disadvantage can lead to high initial costs.

  • The team debated whether the first-mover disadvantage would affect their product launch strategy.

  • Despite being innovative, the startup suffered a first-mover disadvantage due to high initial development costs.

  • Why do some entrepreneurs ignore the first-mover disadvantage?

  • One of the challenges of being a pioneer in the tech industry is the first-mover disadvantage, which includes high initial costs.

  • The first-mover disadvantage can mean that early entrants have to educate the market about their products, creating risks.

  • Companies often face a first-mover disadvantage when they invest heavily without guaranteeing customer demand.

Surface Forms

Morphology

first-mover + disadvantage

The meaning is directly compositional: 'first-mover' denotes the person or company who moves or enters first, and 'disadvantage' denotes a drawback, so together they mean the drawbacks experienced by the initial entrant. This adjective/compound + noun pattern is regular in English (and mirrored in many other languages), so a B1 learner who knows the parts can infer the meaning.

Etymology

First-mover disadvantage comes from the image of a first-mover walking into new ground and having to cut a path and face the first problems while others follow more easily. So, it means the 'disadvantages' a company or person faces when they are the first to enter a market.