Asiaone 1-42
Asiaone 1-42
Asiaone 1-42
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RISK FACTORS<br />
• potential loss of key employees of any acquired business; and<br />
• lack of familiarity with Asian market conditions and business practices.<br />
We will need to be able to successfully integrate the acquired businesses and our failure to do so<br />
could have a material adverse effect on our business, results of operations and financial condition.<br />
Our strategy of expansion throughout Asia may expose our business to further risks<br />
Our planned expansion into markets throughout Asia either through acquisitions, joint ventures or<br />
other arrangements could expose our business to:<br />
• unforeseen changes in legislation and regulatory requirements;<br />
• potentially unfavourable tax and regulatory consequences;<br />
• export and import restrictions and controls;<br />
• tariffs and other trade barriers; and<br />
• political instability and fluctuations in currency exchange rates.<br />
These could have a material adverse effect on the success of our future expansion. Details on our<br />
expansion plan are set out in the “Business – Expansion Plans” section of this Prospectus.<br />
We rely on certain key management personnel<br />
As disclosed in the “Business – Competitive Strengths” section of this Prospectus, one of our key<br />
competitive strength is our experienced management. Our continued success is largely dependent<br />
on the continued services of our key management personnel. The loss of the services of certain of<br />
our existing key personnel, including Messrs Low Huan Ping, Tan Teck Huat and Heng Wah Koon,<br />
if without adequate replacement, or the inability to attract and retain qualified personnel, could have<br />
an adverse effect on us. There is no assurance that we can prevent our key personnel from joining<br />
our competitors if better remuneration packages are offered to those key personnel. We may not be<br />
able to recruit suitable candidates to fill the positions of those key personnel.<br />
Failure to attract and retain qualified personnel could limit our growth<br />
We need to recruit additional personnel to accommodate our anticipated growth. Competition for<br />
employees with the necessary Internet related industry experience is intense. We may not be able to<br />
retain existing employees or identify or recruit new employees because of that competition. If we fail<br />
to recruit or retain the necessary personnel or if we lose the services of any of our key executives,<br />
our business could be materially and adversely affected.<br />
Failure by third party suppliers to provide software and hardware components could affect<br />
our business and operations<br />
We depend on third party suppliers of software and hardware components as disclosed in the<br />
“Business – Product Development Initiatives” section of this Prospectus. We rely on components<br />
that are sourced from a few key suppliers. The failure of our suppliers to meet increasing demand<br />
may prevent them from supplying us with components and products as and when we require them.<br />
If we are not able to develop alternative sources for such software and hardware, the expansion of<br />
our network infrastructure could be delayed and become more costly. This could adversely affect our<br />
operating efficiency and results of operations by, among other things, impairing our ability to execute<br />
our strategy of rapidly increasing our market share.<br />
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