d)Firm I is convinced that a certain class of technologies holds real economic potential. However, it does not know, for sure, which particular version of this technology is going to dominate the market. There are eioght competeing versions of this technology currently, but ultimately, only one will dominate the market. Should Firm I invest in all eight of these technologies itself? Should it invest in just one of these technologies? Should it partner up with other firms that are investing in these sdifferent technologies?
2006-07-26 06:39:51 · 2 answers · asked by JCHERRIE48 1 in Business & Finance ➔ Other - Business & Finance
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2006-07-26 06:40:32 · update #1
Tirm 1 should pick one firm it truly believes in and has done exhaustive research on such as how many patents etc etc it hold . if you had $100,000.00 here is how i would do it as you are sure this techno company is going to rule - $30,000.00 in the one you feel is gonna prevail and then hedge your bets by investing $10,000.00 in each of the other 7 so you are covered and you will still make money no matter what happens because 1 company will win out eventually and you will be handsomely rewarded even if it a 10 K investment cause the stock should rise metorically and if the 30k hits you will be retired .
2006-07-28 16:15:46 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Firm I shouldn´t invest in all eight technologies, depending on how much time do we have for this investmente to possibly grow.
Shouldn´t parter up with other firms, that´s very risky. Firm I should invest in the most advanced technology stocks out of these 8, it must be throughly researched, still there is always is a risk.
2006-07-26 13:56:47 · answer #2 · answered by copita 3 · 0⤊ 0⤋