Venus Corp. a high-technology, gadget-making company has introduced a gaming console with attractive features. Even though the console is priced modestly and has better features than the existing ones, it has failed as many customers are apprehensive about buying it. To create demand, Venus Corp. should:
A) price the console extremely high.
B) create its own set of technical standards.
C) ensure that there are adequate complementary products.
D) use minimalistic and subtle advertising and marketing strategies.
E) avoid licensing the format to other companies.

Question

Quizplus · Accepted Answer

Ensuring that there are adequate complementary products will increase the value proposition for the customers and make it more attractive to purchase the console. This will also create a network effect leading to an increase in demand for the product. Pricing the console extremely high, creating its own set of technical standards, using minimalistic and subtle advertising and marketing strategies, and avoiding licensing the format to other companies may not necessarily create demand for the product.