Ch 7

Once Internet streaming of movies reaches a saturation point, which of the following would be Sony's best strategy related to its Blu-ray format? a. Focus on selling to the high-end of the market. b. Focus on selling to segment zero of the market. c. Start a new format war. d. Do nothing.

Focus on selling to segment zero of the market.

By 2012, about one-third of U.S. households had a device that could play a Blu-ray movie (including PlayStation 3). Why was this statistic concerning for Sony? a. At the same point in the DVD format's life, over half of U.S. households had a device for playing DVDs. b. Blu-ray could deliver a theater-like experience at home, with brilliantly clear video and surround-sound audio, on high-end LCD and plasma televisions. c. Toshiba had released its own Blu-ray disc player. d. The availability of Blu-ray format streamed content was increasing

a. At the same point in the DVD format's life, over half of U.S. households had a device for playing DVDs. b. Blu-ray could deliver a theater-like experience at home, with brilliantly clear video and surround-sound audio, on high-end LCD and plasma televisions. c. Toshiba had released its own Blu-ray disc player. d. The availability of Blu-ray format streamed content was increasing

In this case, what was the greatest force in determining the technical standards in the format war between Sony and Toshiba? a. Consumers b. Major Hollywood studios c. Consortiums of tech companies d. The coming paradigm shift

b. Major Hollywood studios

Which of the following statements would NOT be descriptive of Sony's Blu-ray format? a. Initially, Blu-ray players were considered to be too expensive and buggy, and there were few movie titles available in the standard, but this changed in 2008 when several movie studios announced they would release movies on the Blu-ray format. b. One study found that by 2014 nearly one-quarter of U.S. households did not have adequate bandwidth to stream high-definition content, boosting sales of Blu-ray to even higher levels than forecast. c. Sony's Blu-ray and Toshiba's HD-DVD were intended to deliver a theater-like experience at home and were promoted through incorporation into the two companies' videogame consoles. d. Sony incorporated the Blu-ray format into its PlayStation 3, dramatically raising the cost of the devices, causing PlayStation 3 to sell only about half as many total units as PlayStation 2 had sold.

One study found that by 2014 nearly one-quarter of U.S. households did not have adequate bandwidth to stream high-definition content, boosting sales of Blu-ray to even higher levels than forecast.

The introduction of streaming high-definition content such as movies over the Internet is best described as which of the following? a. The proliferation of licensing agreements b. An increase in marginal costs for Sony c. An inflection point d. A paradigm shift

A paradigm shift

Why was Sony willing to raise the price of its Playstation 3 over Playstation 2, causing a lower number of sales? a. The increase in price more than made up for a 45% drop in units sold. b. The price was still significantly lower than Toshiba's Xbox 360. c. Although consoles were significantly more expensive than traditional videogame consoles, Sony was willing to concede some ground in the PlayStation battle to win the Blu-ray war. d. Initially, Sony had the support of Warner Brothers, Paramount Pictures, Dreamworks Animation, and Universal Pictures.

Although consoles were significantly more expensive than traditional videogame consoles, Sony was willing to concede some ground in the PlayStation battle to win the Blu-ray war.

The companies' efforts to be the preeminent high-definition delivery vehicle for movies, in this case Sony's Blu-ray and Toshiba's HD-DVD, are the main ingredient of which of the following? a. Public domain b. First-mover c. Network effects d. Format war

Format war

Which of the following would NOT be included in a positive feedback cycle in the case of the Blu-ray technology? a. Consumers b. Movie producers c. Toshiba HD-DVD players d. Playstation games

Toshiba HD-DVD players

Which of the following statements best explains what was at stake in the Blu-ray versus HD-DVD issue?

a. Blu-ray was a significantly inferior technology and consumers just needed to be educated as to why HD-DVD was better. b. The formats were incompatible and would force both suppliers and consumers to choose one. c. The new formats would only be played on videogame consoles, so consumer choice would affect more than just movie delivery. d. Bragging rights for the Blu-ray and HD-DVD creator company was the biggest issue in this scenario.

What big announcement at the Consumer Electronics Show in Las Vegas in January 2008 shifted this format war in Sony's favor?

a. Toshiba released its own Blu-ray disc player. b. Warner Brothers announced that it would no longer support the HD-DVD standard. c. Intel and Hewlett-Packard announced that they would collaborate with Hollywood to create standards that would make downloading movies fast and easy. d. Only one-quarter of U.S. households had adequate bandwidth to stream high-definition content.