The relationship between order of entry and firm performance has gained increased attention in the last two decades. Despite the surge in empirical research, the order of entry effect still has many unaddressed issues. To fill the gap, we conduct a systematic literature review. We systematically selected 119 empirical papers, and shortlisted 20 papers matching our selection criteria. We find that (1) the effect of Firstmover advantage (FMA) differs depending on the performance measure, especially when market share is used as a dependent variable; (2) FMA does exist but depends on internal firm resources and the external environment.