What is the desired outcome of a format war?
A) To control the source of differentiation which also controls the value that such differentiation can create for the customer.
B) To win the greatest market share in the industry.
C) To have control over setting the price for goods and services.
D) To edge other companies out of the industry.
E) To gain copyright and patent license over a product.

Question

Quizplus · Accepted Answer

The desired outcome of a format war is to control the source of differentiation, which refers to the unique features or characteristics of a product that sets it apart from its competitors. By controlling this source of differentiation, a company can control the value that such differentiation can create for the customer, leading to increased market share and profitability. Winning the greatest market share in the industry, having control over setting the price for goods and services, and edging other companies out of the industry are potential outcomes of winning a format war, but they are not the ultimate goal. Gaining copyright and patent license over a product may be a desired outcome, but it is not necessarily tied to a format war.

What Is the Desired Outcome of a Format War