Research and development is a essential key component for companies to be able to expand further into their industry. Having the right team in place to operate efficiently is a must for the growth and expansion for any company. This weakness could keep them from finding more advantages that could keep their cost down and potentially earn more in profits. … "Less Expenditure On R&D" has a significant impact, so an analyst should put more weight into it. "Less Expenditure On R&D" will have a long-term negative impact on this entity, which subtracts from the entity's value.