This podcast is about the super cool economics of Adobe Inc. And how they capture the economics of digital by also building strong competitive moats. In Adobe’s case, it’s mostly network effects and bundling.
The digital economics terms cited are:
- Zero marginal production costs.
- Low distribution costs.
- Non-rival goods that can be simultaneously used.
- Global scalability at low cost.
- Versioning. Multiple versions of their products can be easily created at different price points.
- Complements can be added.
- Lots of integration into other software and products.
- Software and the Sexy but Dangerous Economics of Digital (pt 1 of 3)
- Digital Economics II: Why Pricing Is Getting Both Complicated and Critical. (Jeff’s Asia Tech Class – Podcast 53)
- How Digital Creates and Destroys Competitive Advantage. Digital Economics II. (Jeff’s Asia Tech Class – Podcast 55)
From the Concept Library, concepts for this article are:
- Standardization and Interconnection Network Effects
- Subscriptions, Cross-Selling and Integrated Bundling
From the Company Library, companies for this article are:
- Adobe Inc.
I write, speak and consult about digital strategy and transformation.
My book Moats and Marathons details how to measure competitive advantage in digital businesses.
I also host US-Asia Tech Strategy, a podcast and subscription newsletter on the strategies of the best digital companies in the US, China and Asia.
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Note: This content (articles, podcasts, website info) is not investment advice. The information and opinions from me and any guests may be incorrect. The numbers and information may be wrong. The views expressed may no longer be relevant or accurate. Investing is risky. Do your own research.