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Unformatted text preview: Principles for Evolving Markets Principle 4: Firms should insure that they have a formidable value net, which consists of suppliers, competitors, and producers of complementary products and services. This is especially important in industries with network effects. Principle 5: Make sure at least one format survives. If complementary product providers support different incompatible standards, demand may be very low for each of the incompatible standards and both might fail. Principle 6: Communications among consumers via the Internet will likely play a big role in future standards battles. While the DVD vs. DIVX battle was likely the first key standards war where coordination among consumers via the Internet had a major impact, the Internet will surely play a key role in future standards competition....
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This note was uploaded on 04/04/2012 for the course MGMT 382 taught by Professor Roymdejoiejr during the Fall '08 term at Purdue University-West Lafayette.
- Fall '08