A Research of the Vertical Differentiation of Digital Content Products

DOI

10.2991/iccia.2012.233How to use a DOI?

Keywords

digital content product, vertical differentiation, numerical simulations

Abstract

This paper mainly analyze the motivation of enterprises to provide differentiation products, and market result, relevant social welfare effect in digital content products market. First, combing the specific characteristics of digital content products, this paper has developed the “Vertical Differentiation Model of Digital Content Products". And then makes an numerical simulation of this model. We get two primary conclusion:(1)Under the assumption of economic man, digital content market will form vertical differentiation of product quality at last, namely products of different classes will coexist and every enterprise will have relevant stable competitive strategy.(2) The digital content market has a trend that enterprises with high quality products will get higher profit. There are three points of new ideas. (1)introducing specific characteristics of digital content product to the model. (2)loosening previous assumption of rational customer. (3)Introducing non-quality characteristic to the question of quality-choosing.

Copyright

© 2013, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Zhenbo Zhang
AU  - Lingyi Hu
AU  - Bin Wang
PY  - 2014/05
DA  - 2014/05
TI  - A Research of the Vertical Differentiation of Digital Content Products
BT  - Proceedings of the 2012 2nd International Conference on Computer and Information Application (ICCIA 2012)
PB  - Atlantis Press
SP  - 954
EP  - 957
SN  - 1951-6851
UR  - https://doi.org/10.2991/iccia.2012.233
DO  - 10.2991/iccia.2012.233
ID  - Zhang2014/05
ER  -