presentation msom 303

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This project is by: Kay Chung Slavica Cvijanovic Hugo Duran Sung Taek Hong Erik Larson

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This project is by:Kay ChungSlavica CvijanovicHugo DuranSung Taek HongErik Larson

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Page 1: Presentation MSOM 303

This project is by:

Kay Chung

Slavica Cvijanovic

Hugo Duran

Sung Taek Hong

Erik Larson

Page 2: Presentation MSOM 303

2005 Holiday season: LCD SALES UP 390%, PLASMA SALES UP 382% compared to 20042006 January-September: HDTV sales up 52%XBOX 360: $400 released November 22, 2005Playstation 3: $600 released November 17, 2006

Number of players in US by end of 2007: HD-DVD 750,000 Blu-ray 2.7 million

Market Share for HD-DVD:January 7, 2008: 7%End of January 2008: 34%

April 2008 worldwide sales:HD-DVD 1 millionBlu-ray 10.5 million

PS3

XBOX 360 & HD-DVD DRIVE

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Market Penetration $3 Billion investment to install Blu-ray players in Playstation 3

Relative Advantage-Playstation 3 All-in-one console with free Playstation network-Blu-ray capacity and potential twice that of HD-DVD-More movie titles available

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• People interested in cutting edge technologies or innovators and early adopters

• Every current DVD or game console owner.

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Blu Ray Disc -Uses Java Based platform

HD DVD-Uses Microsoft’s HDI

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Blu ray Disc HD DVD

Storage Capacity

25/50 GB 15/30 GB

Resolution 1920x 1080 1920x 1080

Game Console

PlayStation 3 None

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PricingBlue Ray vs. HD DVD Player on Amazon.com

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•Available at convenient locations:

•Local retailers: Bestbuy, Wal-mart, Cosco

•Internet:Amazon, Ebay- available at customers convenience

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1. YouTube Videos2. Commercials3. Movies4. The HD DVD Promotion Group was

a group of manufacturers and media studios formed to exchange thoughts and ideas to help promote the format worldwide.

5. In 2008 Best Buy and Wal-mart removed HD DVD players as part of its ongoing "HDTV advantage" promotion.

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1. Toshiba is an internationally recognized and respected brand

2. Toshiba is a multi-billion dollar company

3. Backing of powerful film studios and major manufacturers

4. High-definition player: Cutting edge but not complex

5. HD DVD is cheaper than Blu-ray

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1. Xbox 360 can play HD DVD films, but requires separate drive

2. No video games available on HD DVD

3. $2 billion spent on R&D, promotion, incentives

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1. New and growing market for high-definition players

2. Sole competing format (Blu-ray) is expensive and buggy

3. Alliances with other manufacturers and studios

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1. 2007: Playstation 3 was vastly outselling HD DVD players.

2. 2007 to 2008: HD DVD lost the support of many film studios and retailers

3. Consumer/industry perception of Blu-ray as winner: in 2008, Best Buy and Walmart decided to discontinue stocking HD DVDs

4. “Wal-Mart is the biggest player in the DVD market. If it says HD DVD is done, you can take that as a fact.”

5. Rob Enderle, tech industry analyst

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1. HD DVD would have succeeded if there was no competing format

2. Video game compatibility might have changed outcome

3. Industry alliances and decisions could have changed outcome

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Kageyama, Yuri. 2008. “Toshiba Quits HD DVD Business.” HuffPost Business. Retrieved June 8, 2011 (http://www.huffingtonpost.com/2008/02/19/toshiba-quits-hd-dvd-busi_n_87319.html). Lewis, Leo. 2008. “Toshiba risks defeat in film disc battle with Sony's Blu-ray.” The Times. Retrieved June 12, 2011 (http://business.timesonline.co.uk/tol/business/industry_sectors/media/article3386308.ece). Miller, Paul. 2007. “Sony claims Blu-ray "winner" in format war.” Engadget. Retrieved June 13, 2011 (http://www.engadget.com/2007/02/13/sony-claims-blu-ray-winner-in-format-war/). Ogg, Erica. 2007. “Blu-ray vs. HD DVD: War without end.” CNET News. Retrieved June 8, 2011 (http://news.cnet.com/Blu-ray-vs.-HD-DVD-War-without-end/2100-1041_3-6212782.html). Osbourne, Doug. 2007. “Blu-ray player sales dominate HD DVD, 3 to 1.” Geek.com Retrieved June 12, 2011(http://www.geek.com/articles/gadgets/blu-ray-player-sales-dominate-hd-dvd-3-to-1-2007124/). 

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Richtel, Matt and Eric A. Taub. 2008. "Taps for HD DVD as Wal-Mart Backs Blu-ray.” New York Times. Retrieved June 13, 2011 (https://www.nytimes.com/2008/02/16/technology/16toshiba.html?ref=technology). Shankland, Stephen. 2005. “Forrester: Blu-ray winning drawn-out format war.” CNET News. Retrieved June 13, 2011 (http://news.cnet.com/Forrester-Blu-ray-winning-drawn-out-format-war/2100-1041_3-5902753.html). Sabbagh, Dan. 2008. “Blu-ray delivers fatal sting to rival in battle of high-definition DVDs.” The Times. Retrieved June 12, 2011 (http://technology.timesonline.co.uk/tol/news/tech_and_web/article3393244.ece). Sabbagh, Dan. 2008. “How the Blu-ray war was won - Sony outspent, outsold Toshiba.” The Times. Retrieved June 12, 2011 (http://business.timesonline.co.uk/tol/business/industry_sectors/media/article3405959.ece).  Yam, Marcus. 2007. “Netflix Statistics Show HD DVD More Popular Than Blu-ray Disc.” Daily Tech. Retrieved June 13, 2011 (http://www.dailytech.com/Netflix+Statistics+Show+HD+DVD+More+Popular+Than+Bluray+Disc/article9202.htm).

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Applause please