Managerial Economics & Business Strategy 8th Edition by Michael Baye,Jeff Prince

Exercise 25

UNIX is a powerful multiuser operating system designed for use with servers. UNIX's popularity has grown since it was developed by Bell Labs in 1969, as record numbers of users are logging onto the Internet. More recently, however, a branded version of another operating system has become available. This product, called Red Hat Linux, is a potential replacement for UNIX and other well-known operating systems. If you were in charge of pricing at Red Hat, what strategy would you pursue? Explain.