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YZ operates a national mobile phone (cell phone) network in one country. It is considering upgrading its network to 4th Generation (4G) by providing an improved bandwidth that will enable its customers faster access to the Internet.
This investment will cost S29 million which YZ's institutional investors have agreed to provide by subscribing to a rights issue. This is due to management having informed institutional investors that a rival is already offering 4G and that this is taking customers away from YZ because its network is now regarded as too slow.
YZ's remaining customers have shown a willingness to pay extra for 4G and overall the investment will have a positive net present value.
Which of the following statements are correct? (Choose all that apply.)
A. It provides a market development opportunity for YZ.
B. It is essential given the strategic threats to YZ.
C. There are sufficient investment funds available
D. YZ will gain a first mover advantage.
E. There is stakeholder approval for the investment.
Answer: B,C,E
NEW QUESTION: 2
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C. comparison of the marketing description of what a product does to the customer's experience
D. list of instructions that customer uses for their software
Answer: B
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C. Some code compilation or modification is needed.
D. You can set the IBM_JAVA_OPTIONS environment variable to add the argument into the application startup.
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