Question 2 (20 marks)

Elaborate with examples 5 (FIVE) limitations of strategic investment in high technology.

**Please do not copy from other sources.

Subject: MANAGEMENT INFORMATION SYSTEM

MINI CASE STUDY China is going big on research and development, with spending in the area 70% higher in 2017 than in 2012, according to analysts at Matthews Asia. It's also investing in high-tech industrial parks and incubators focusing on technologies such as artificial intelligence, robotics and big data. Internet companies like Alibaba, Tencent and Baidu are investing billions in new research centres, Al experts and data scientists. Partly as a consequence of this, high-value businesses are being funded faster than anywhere else in the world. As of February 2018, China ranked second behind the US in terms of its number of unicorns - privately held start-up companies valued at $1 billion or more. Excerpt published in World Economic Forum on 2019 by Emma Charlton