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Suppose that an analyst at GE is convinced that just a little bit more advertising by GE, say another \$2m, would be sufficient to deter enough customers from buying Maytag, thus, yield less than \$0 profits for Maytag in the event it enters. Suppose that spending an extra \$2m on advertising by GE will reduce its expected profits by \$1.5 m, regardless of whether Maytag enters or stays out. Would this additional spending on advertising achieve the effect of deterring Maytag from entering? Should GE pursue this option?

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