The act required that these warnings and graphic labels take up 50 percent of the cigarette package label and 20 percent of all cigarette ads. After publishing the proposed rule and receiving more than 1,700 comments, the FDA published its final rule in June 2011. Explain how the tobacco companies could challenge the rules. Discuss whether the rules will be set aside. [In the case of R.J. Reynolds Tobacco Company et al. v. FDA et al., 696 F.3d 1205 (D.C. Cir.)]

Over confidence and Excess Entry are the plausible explanation for the extra entry.

Explanation:

An individual who undertakes the organization, creation, ownership of the    business with potential growth.

Over confidence causes business entry mistakes and not been directly tested by economic decisions.

The experimental setting with basic features of business entry situations are created. The findings are consistent with the predictions that over confidence leads to excessive business entry.