Question: A firm is evaluating entry into a market dominated by another firm. The entrant firm knows that the incumbent firm could go to war and

A firm is evaluating entry into a market dominated by another firm. The entrant firm knows that the incumbent firm could "go to war" and drive the entrant out of the market. But the entrant might nonetheless find it optimal to move forward. Why? Group of answer choices The entrant firm is a small player so the incumbent firm is unlikely to care. The incumbent firm is more concerned about profits than the entrant firm. It is not in the incumbent firm's best interest to "go to war" so its threat isn't credible. The entrant firm has nothing to lose

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