Read the following passage and mark the letter A, B, C or D on your answer sheet to indicate the comet answer to each of the questions.

It is difficult to succeed in the music business; nine out of ten bands that release a first record fail to produce a second. Surviving in the music industry requires luck and patience, but most of all it requires an intricate knowledge of how a record company functions. The process begins when a representative of a company’s Artists and Repertoire (A&R) department visits bars and night clubs, scouting for young, talented bands. After the representative identifies a promising band, he or she will work to negotiate a contract with that band. The signing of this recording contract is a slow process. A company will send a long time investigating the band itself as well as current trends in popular music. During this period, it is important that a band reciprocate with an investigation of its own, learning as much as possible about the record company and making personal connections within the different departments that will handle its recordings.

          Once a band has signed the contract and has finished recording an album, the Publicity and Promotions department take over. This department decides whether or not to mass produce and market the band’s album. Most bands fail to make personal contacts in this second department, thus losing their voice in the important final process of producing and marketing their album. This loss of voice often contributes to the band’s failure as a recording group.

The word it in paragraph 1 refers to ……………..