The emergence of MP3 files based on the music format is not only violated the market of portable audio players, it also had a huge impact on the business models of the major record companies. Modularity and commercialization side enabled by modularity in the personal computer industry, was the main driving force in the development of the market. While today bet Apple, has a dominant position in the market, new energy commoditization continue to manage changes in the value chain. The case examines the commoditization cycle and contrasts integrated solutions, such as the Ipod - ITunes software - ITunes Music Store emerging competition from other MP3-player and music store Amazon.com.
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by Willy Shih Source: Harvard Business School 20 pages. Publication Date: 04 Feb 2008. Prod. #: 608119-PDF-ENG
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