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The first force to be examined is Threat of New Entrants. Wireless providers require infrastructure including a network of cellular towers. The massive capital outlay required to put the required infrastructure in place poses a significant barrier to entry to potential new entrants. Acquiring the telecom license required to operate is also difficult. To obtain this license, operators must apply to and be approved by the FCC, and this process can be time consuming and costly. Another significant barrier to entry is the fact that there is a finite amount of suitable radio spectrum available, and this spectrum is highly regulated and is the subject of fierce competition among current industry players...
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Common topics in this essay:
- Analysis of Sprint and Nextel Merger
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- Nextel analysis
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