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Investing in excess capacity is one way to deter entrants because it lowers marginal costs. What is one reason that investing in excess capacity might

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Investing in excess capacity is one way to deter entrants because it lowers marginal costs. What is one reason that investing in excess capacity might not deter entry? O The excess capacity is far greater than market demand for the product Creating the excess capacity has high fixed costs, but using it has low marginal costs O The firm cannot make a credible threat to actually use the excess capacity The firm can credibly commit itself to lowering prices in response to entry

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