MST Module 4 Exam With Correct Actual Questions And Correctly Well Defined.

Network effects - correct answer When the value of a product or service increases as its number of users expands. AKA Network externalities or Metcalfe's law Platforms - correct answer Products or services that allow for the development and integration of software products and other complementary goods, effectively creating an ecostystem of value-added offerings Exchange - correct answer the first source of network effects, Every product or service subject to network effects fosters some kind of exchange. This can include money, messaging, movies/music, and video games/computer programs. staying power - correct answer the second source of network effects. Long term viability of a product or service. switching costs - correct answer The cost a consumer incurs when moving from one product to another. It can involve actual money spent (e.g., buying a new product) as well as investments in time, any data loss, and so forth. Directly related to staying power. . total cost of ownership (TCO): - correct answer Economic measure of the full cost of owning a product. All of the costs associated with the design, development, testing, implementation, documentation, training and maintenance of a software system. complementary benefits - correct answer the third source of network effects. Products or services that add additional value to the primary product or service that makes up a network. customer acquisition costs - correct answer The amount of money a firm spends to convince a customer to buy (or in the case of free products, try or use) a product or service. One-sided market - correct answer a market that derives most of its value from a single class of users. an example of this would be messaging, as it only takes effort from one person to send a message. same-side exchange - correct answer benefits derived by interaction among members of a single class of participant. an example of this would be video games. cross-side exch - correct answer When an increase in the number of users on one side of the market (console owners, for example) creates a rise in the other side (software developers). two sided market - correct answer Network markets comprised of two distinct categories of participant, both of which that are needed to deliver value for the network to work monopoly - correct answer A market in which there are many buyers but only one seller. oligopoly - correct answer A market structure in which a few large firms dominate a market technological leap - correct answer Competing by offering a new technology that is so superior to existing offerings that the value overcomes the total resistance that older technologies might enjoy via exchange, switching cost, and complementary benefits. strategies for competing in markets with network effects - correct answer move early subsidize product adoption leverage viral promotion expand the market by bringing in new users or convergence form alliances and partnerships establish distribution channels seed the market with complements social proof - correct answer Positive influence created when someone finds out that others are doing something. convergence - correct answer When two or more markets, once considered distinctly separate, begin to offer features and capabilities. As an example: the markets for mobile phones and media players are converging. envelopment - correct answer When one market attempts to conquer a new market by making it a subset, component, or feature of its primary offering. backward compatibility - correct answer the ability to take advantage of complementary products developed for a prior generation of technology freemium - correct answer A product with a free version—sometimes with limited features or that stops working after a period of time—to allow customers to try a product and hopefully entice them into making a product purchase or subscription decision. web 2.0 - correct answer internet services that foster collaboration and sharing social media - correct answer content that is created, shared, and commented on by a broader community of users peer production - correct answer Collaboration between users to create content, products, and services collaborative consumption - correct answer Participants share access to products and services, rather than having ownership blogs - correct answer Online journal entries, usually made in a reverse chronological order. Blogs typically provide comment mechanisms where users can post feedback for authors and other readers. long tail - correct answer Phenomenon whereby firms can make money by offering a near-limitless selection of contents and products trashbacks - correct answer links in a blog post that refer reader back to cited sources blog rolls - correct answer a list of a blogger's favorite blogs owned media - correct answer Communication channels that an organization controls. These can include firm-run blogs, Web sites, apps, and organization accounts on social media such as Twitter, Facebook, Pinterest, YouTube, and Instagram. paid media - correct answer Refers to efforts where an organization pays to leverage a channel or promote a message. Paid media efforts include things such as advertisement and sponsorships. earned media - correct answer Promotions that are not paid for or owned but rather grow organically from customer efforts or other favorable publicity. Social media, word of mouth, and unsolicited positive press mentions are all examples of earned media. inbound marketing - correct answer refers to leveraging online channels to draw consumers to the firm with compelling content rather than conventional forms of promotion such as advertising, e-mail marketing, traditional mailings, and sales calls