Blog Post Week 10-Red Queens and Increasing Returns

Blog Post Week 10-Red Queens and Increasing Returns

                  For the movie viewing assignment, I happened to have the DVD version of the movie. I think I had looked for it on Netflix and could not locate it.

                  The competition between the DVD and Video-on-demand is an example of increasing returns. Increasing returns consist of two innovations that developed relatively at the same time, yet one excels and the other becomes obsolete (Thornburg, 2009). The DVD in its’ original development was expensive and increased DVD player/large televisions increased in sales (Anderson, 2007). Soon after, Netflix emerged and capitalized on the home movie rental industry. According to the McLuhan’s Laws of Media, the creation of Netflix essentially obsolesced the DVD industry, as DVD’s price has dropped dramatically over the course of the past decade. Video on demand, such as Netflix, is an extension/enhancement of television/movie entertainment, allowing the viewer to watch at their convenience, in their on home, at an affordable price.

Tags: DVD, Video on demand, Increasing returns, Red queens

References:

Anderson, C. (2007). Tech’s Long Tail Video. Retrieved from http://www.ted.com/talks/chris_anderson_of_wired_on _ tech_s_long_tail.html

Laureate Education, Inc. (2009). Emerging and future technology. Baltimore, MD: Author.

Thornburg, D. (2008b). Emerging technologies and McLuhan's laws of media. Lake Barrington, IL: Thornburg Center for Space Exploration.

Thornburg, D. (2008c). Red Queens, butterflies, and strange attractors: Imperfect lenses into emergent technologies. Lake Barrington, IL: Thornburg Center for Space Exploration.