Market

For the second part of the assignment I will show my understanding of the following:

Read the "Introduction" (pp. xiii-xxiii) to the textbook and answer the following questions using your own words:

Therefore, for Magnavox to adapt in this market cycle, it has to innovate faster and continuously to replace the obsolete competitive advantages. Magnavox should also take the necessary steps to ensure that consumers understand how to use their innovative products, such as the DVD recorders, which consumers complain to having difficulties using.

In the last 50 plus years, society has been changed tremendously as new inventions and innovations have emerged. In my experiences, there are two noteworthy items that have a pronounced place in this catalog. As a teenager in the early 21st century, I have an abundance of experience with both of these inventions. Today's modern televisions are a product of evolution and improvement, and that the iPod is relatively new to society there are a lot of differences between the two. Such as ways information is broadcasted, target demographics, and their separate functions. On the contrary, they also are popular forms of entertainment and share some similar functions.

3. Network effects can be a major consequence of an emerging product space. Often times, they occur when an individual derives part of their own utility from the fraction of other people using the product as well. These effects though understated in the public, can be absolutely pivotal for a market and can set path dependencies that last for years. The commonly referred to instance of network effects is VHS vs. Betamax. In this case, a competition existed in the 1980s between two different video platforms that were looking to dominate the home video market. The technologically inferior VHS eventually grabbed enough of the market to give it the edge in the competition, which netted them the entire home video market. Betamax eventually

Let’s use the DVD player as an example. In 1997 the DVD player made its debut in

While their business plan called for renting DVDs by mail, the success of the DVD player was a big gamble in 1997. At the time the format was brand new but growing fast, with 400,000 machines sold in the first six months of 19972. The technology faced an uphill battle to unseat the more ubiquitous VHS player. Part of the reason for the technology’s slow adoption was the price; most machines cost

Armstrong, G., Kotler, P., Trifts, V., & Buchwitz, L. A. (2011). Marketing: an introduction (4th ed., canadian ed.). Boston, Mass.: Pearson.

There was a time when the only place one can watch a movie was in a cinema. Then after a while, as technology progressed, more means were evolved. There were video cassettes first, followed by CDs. The reign of CDs lasted until the format DVD was carved out. Ultimately, this evolution resulted in the pinnacle of entertainment: the Blu-ray Disc. This research paper will look at the various reasons behind the development of both the DVD,HD-DVD and Blu-ray Disc and will analyze why Blu-ray Disc is better than its counterparts.

Not too terribly long ago, home video format converted from VHS tapes to DVDs and many consumers found the change difficult to acclimate to. It seems as if as soon as we were familiar with DVDs a new home video technology was introduced. With the recent addition of Blu-ray disks to the mix, many consumers are finding themselves confused and inexperienced with the different video technologies. Though DVDs and Blu-rays have many similarities they both also have their individual pros and cons.

Such innovations as cable television and satellite receivers were just the beginning of expanded TV technology, and as they spread throughout the world we are able to encounter a wider span of input. Cable TV was invented for the purpose, not of increasing the number of channels received, but to improve reception. Now nearly 60 million households are subscribed to cable television, many carrying up to 80 channels. This speed with which television technology is being developed is an indication of the extent to which our culture is changing its mode of communication from interpersonal to technological.

Media use across the decades responsively changed because of the technological improvement. While in 1930s popular media platforms were movies, print, and radio; in 1950s television was added to the list. In 1980s computers become a part of the popular media platforms (Gutnick, Robb & Kotler, 2010), and finally in 2000s easily portable mobile devices such as tablets and smart phones may assumed the leadership on this platforms.

Secondly, different delivery medium are changing the television industry in a fundamental ways. Digital video recorders (DVRs), Internet television, satellite video-on-demand(VOD)

In 1998, The High Definition TV (HDTV) sets began to act in the United States and Japanese consumer markets. The old formats of media, such as DVDs and CDs were not able to store the amount of data necessary to record high-definition content. At the same time, the video game market was growing in a rapidly rate. The market demand generated after the success of DVDs pushed several companies to invest in this type of technology. In this framework, the company that would come up with an efficient innovation to provide higher data storage would have greater chance to have a big market share.

Product associations include functional attribute associations and non-functional associations (Chen 2001). Functional attributes are the tangible features of a product (Keller 1993, Hankinson and Cowking 1993, de Chernatony and McWilliam, 1989). While evaluating a brand, consumers link the performance of the functional attributes to the brand (Pitta and Katsanis 1995, Lassar et al. 1995). If a brand does not perform the functions for which it is designed, the brand will has low level of brand equity. Performance is defined as a consumer’s judgment about a brand’s fault-free and long-lasting physical operation and flawlessness in the product’s physical construction (Lassar et al. 1995). Non-functional attributes include symbolic attributes (Aaker 1991, Keller 1993, Farquhar & Herr 1993, Chen 1996,