Week 3 Lecture
It was very interesting to compare the infrastructures of two different industries; the automobile and the digital. In the automobile’s infrastructure we have roads, gas stations, parking etc. to facilitate the use of a car and the needs around it like; gas, parking and repair shops. In the digital industry, we have the internet, the telephone lines, the software etc. I never really thought about which one came first in the case of the automobile, did we have roads, gas stations and parking before the automobile was invented or as a result of the automobile did we create an infrastructure for it? What about the digital media industry? Which one came first?
It was also very important to become aware that within the digital technology there are cultural forces that must to be considered before the implementation of a new technology. For example Mobil (Japan) vs. pipes (USA), in the case of Japan, Pod casting makes more sense in terms of commute, in the case of USA we don’t commute that much, but still room for pod casting only not as much as Japan. Knowing this, I wonder if Pos casting will be as successful as it is in Japan in countries in Latin America that commute. May be not, one aspect to be considered is why people commute, for example in Mexico, commuting is the only option if you don’t have a car, they don’t usually do it because of limited space, but more because of limited resources to get a car.
Learning more about how digital technology facilitates the concept of networks in terms of connectivity to be able to communicate was very interesting in terms of reducing transaction costs, physical space and time.
I really enjoyed the discussion part of the class. The two subjects were very interesting. The discussion on whether to invest in the Long Tail or not made me think about aspects that I didn’t consider before. I think anybody can come up with a good idea of a unique business, but every business needs customers and even if you make a good market research, the risk still high in terms of space, because that business is limited to that particular area. However, in the digital industry this problem doesn’t exist, because of internet that allows you to reach out to other states and even countries, of course there is a limitation due to the fact that not everybody around the world has access to internet, but that’s another issue…