Question $1(0\mathrm{.}5$ points$)$

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How does using entering strategic alliance as real$-$options help firms?

It reduces firms' cost of acquisition by enabling them to make the entire investment decision in the beginning itself.

It helps firms gain the confidence of the partnering company by making substantial commitments.

It allows firms to buy time and wait for the uncertainty surrounding the market and technology to fade by making small investments over time.

It helps firms reduce the value gap they create through their product and service offerings.