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What strategies could hd dvd have used to beat blu-ray

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Reference no: EM132654111 , Length: 2

In the early 1980s, a format war took place between VHS and Betamax videotapes for video storage. VHS ultimately won. History always repeats itself. Between 2000 and 2008, another format war took place between Sony's Blu-Ray and Toshiba's HD DVD (high density optical disc for video storage). Blu-Ray ultimately won. But why? HD DVD had several advantages over Blu-Ray. HD DVD was the pioneering brand, or the first brand to enter the market, plus it was less expensive than Blu-Ray. Initially, almost as many movie titles appeared in HD DVD as did in Blu-Ray. Using the concepts in Chapter 10, how would you compare and evaluate these differences? In January 2008, an important event tipped the scale in favor of Blu-Ray when Warner Brothers Studios decided to support Blu-Ray exclusively. Because Sony Blu-Ray already had the exclusive support of Sony Pictures (including MGM/Columbia Tristar), Disney (including Touchstone and Miramax), Fox, and Lions Gate, the Warner decision gave Blu-Ray the support of 70% of the movie studios. Toshiba was unable to overcome this advantage. In addition, Blu-Ray discs hold more data than HD DVD discs (50 GB versus 30 GB). The Sony PlayStation 3 can also play PS3 games, Blu-Ray discs, and standard DVDs. Using the concepts in Chapter 10, how would you compare and evaluate these differences?

Your Challenge:

Question 1. What strategies could HD DVD have used to beat Blu-Ray?

Question 2. What strategies could Blu-Ray have used to beat HD DVD more quickly?

Question 3. After Warner Brothers decided to support only Blu-Ray in January 2008, Toshiba reduced the price of HD DVD players to $150. Explain why this was too little, too late. In February 2008, Net Flix, BestBuy, and Walmart announced that they would phase out HD DVD. After these announcements, Toshiba announced that they would stop producing HD DVD players. Explain why Toshiba needed the support of Warner Brothers, Net Flix, BestBuy, and Walmart.

Question 4. In what other product categories do you currently see a format war? What steps can competing companies take to try to avoid format wars?

Reference no: EM132654111

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