Customers Who Owned Nintendo's 8-Bit Video Game Console Were Unable

question 66

Multiple Choice

Customers who owned Nintendo's 8-bit video game console were unable to play the same games on the firm's new 16-bit Super Nintendo system. There was little incentive for existing Nintendo fans to stick with the firm. In this case, Nintendo's new offering suffered from a lack of:

• A) switching costs.
• B) backward compatibility.
• C) staying power.
• D) effective pricing.
• E) network effects.

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Definitions:

Cognitive Judgments

The mental process of evaluating, making decisions, or forming opinions based on thought and reasoning.

Group Consensus

The collective agreement or decision made by all members of a group, often achieved through discussion and compromise.

Heinz Dilemma

A moral dilemma experiment designed by Lawrence Kohlberg to assess the moral reasoning stage of an individual, involving a man stealing medicine to save his wife's life.

Moral Decisions

Choices made by individuals that are evaluated based on principles of right and wrong or ethical considerations.