Product details

Days after Jerry Shen introduced a new tablet computer at the Consumer Electronics Show, a Google meeting convinced him to go with a lower price point and co-branding as the Nexus 7. While his company would have a premier position at launch, companies like Samsung posed a large competitive threat. He also knew he would sell more of the Android-powered tablets at the lower price, but how would he make money? The case explores the challenges of innovating in the Android value network in which firms specialized in only one part of the value chain, yet collectively they had to compete with a more vertically integrated Apple and its iPad. The case is intended to be part of a discussion on modularity and industry structure.