Subject category:
Strategy and General Management
Published in:
2004
Length: 18 pages
Data source: Published sources
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https://casecent.re/p/19272
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Abstract
This is the second of a two-case series (304-529-1 and 304-530-1). The introduction of the Compact Disc (CD) Audio System was one of the most successful product innovations in the decades. The (B) case asks students to analyse the mechanisms behind the commercial launch of the CD system (hard and software). Philips and Sony negotiated to get all the key players to support their standard and to co-ordinate the timing of product introduction. Consumer expectations were raised by the support of several other major manufacturers. The launch strategy served three main goals, which students are asked to identify: awareness, experience, and expectations. Students should also recognise that the launch strategy targeted two influential consumer segments: aficionados of classical music to lend the technology credibility, and young consumers to create momentum in the mass market. Students should distinguish between awareness, experience and expectations, and identify the functions that the two early target segments served. The rest is history, and the Compact Disc Audio System was soon adopted as de facto industry standard. A supplement ''304-529-4'' is available to accompany the case series.
About
Abstract
This is the second of a two-case series (304-529-1 and 304-530-1). The introduction of the Compact Disc (CD) Audio System was one of the most successful product innovations in the decades. The (B) case asks students to analyse the mechanisms behind the commercial launch of the CD system (hard and software). Philips and Sony negotiated to get all the key players to support their standard and to co-ordinate the timing of product introduction. Consumer expectations were raised by the support of several other major manufacturers. The launch strategy served three main goals, which students are asked to identify: awareness, experience, and expectations. Students should also recognise that the launch strategy targeted two influential consumer segments: aficionados of classical music to lend the technology credibility, and young consumers to create momentum in the mass market. Students should distinguish between awareness, experience and expectations, and identify the functions that the two early target segments served. The rest is history, and the Compact Disc Audio System was soon adopted as de facto industry standard. A supplement ''304-529-4'' is available to accompany the case series.
