INTG 202 Lecture Notes - Lecture 3: Peer Production, Web 2.0, Digital Goods
23 Dec 2018
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February 6th, 2018: 3 major properties of a digital good: easily replicated, easily distributed, huge upfront costs, but next to. If the game you write doesn"t sell, it doesn"t sell all in game (not salvageable) vs. something physical (resell plant for an equipment to get some of the investment back) Two sided: get other people to do it for you: example: nintendo (zelda, mario) There are pros and cons to going to a two-sided market. Have access to more developers, but those developers can abuse mario/zelda: example: lego. Lego had people making sure that the lego brand didn"t get destroyed: personalized pricing: different pricing for different people, example: amazon. Charge more because of wealth effect: high piracy groups are students, so microsoft office is free for students, the hope is that these students will then use microsoft office and will have to pay for it.
