Division 5.3.4

Give an account of the importance of research and development in the ability of an undertaking operating in the relevant market(s) to compete in the long term. Explain the nature of the research and development carried out by the applicant in the relevant markets.

In so doing, take account of the following, where appropriate:

1. (a)

   trends and intensity of research and development^f1 in these markets and for the applicant;

2. (b)

   technological developments in these markets over an appropriate time period (in particular developments in products and/or services, production processes, distribution systems, and so on);

3. (c)

   the major innovations that have been made in these markets and the undertakings responsible for these innovations;

4. (d)

   the cycle of innovation in these markets and where the parties are in this cycle of innovation.