Multiple Choice
Cisco purchased Pure Digital, maker of the Flip video recorder, but ended up shutting the unit down a little over two years later. The reason for Cisco's failure was:
A) Envelopment. Smartphone manufacturers and music players began to offer video recording features, enveloping the benefit provided by Pure's gear in their offerings.
B) Network effects. Late-arriving Cisco could not compete against the dominance of existing, incompatible standards created by early-moving incumbents.
C) The Osbour Effect. Cisco preannounced a product and no one wanted its current offerings.
D) Staying power. Consumers weren't convinced a small firm like Cisco could win in the market.
Correct Answer:

Verified
Correct Answer:
Verified
Q4: Every product or service subject to network
Q5: Apple, which controls over 75 percent of
Q6: A market dominated by a small number
Q7: While Sony and Microsoft focused on the
Q8: Distinguish between one-sided and two-sided markets. Provide
Q10: Adobe gives away the Acrobat Reader to
Q11: Regional anti-trust authorities may consider product bundling
Q12: In the absence of network effects, the
Q13: Staying power refers to the:<br>A) relative abilities
Q14: In the context of network effects, the