Caitlin Vodopia Chapter 7 Closing Case 1. Both Sony and Toshiba perceived it to be important to get an early lead on sales because in past format situations the firm who got the early sales ended up dominating the market while the other firm was vanished to a niche market or exited the market altogether. 2. The strategies that enabled Sony to win the format war were lining up companies such as Columbia Pictures, MGM, Disney, Fox Studios, and others to commit to backing their product. But even more important than these commitments was Sony’s effort to get the Blu-ray format out in as many products and as large of supply as possible, especially in the largely popular PS3 gaming console and other consumer electronics firms such as Samsung. Providing complements for the Blu-ray format helped boost sales, a principle called network effects. Another positive that contributed to Sony’s success was the feature of Blu-ray that allowed stronger copyright protections, which is important to studios. 3.
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This note was uploaded on 01/25/2011 for the course MGT 4195 taught by Professor Aksha during the Fall '10 term at Georgia Institute of Technology.