Powerpoints

Question 1

Products purchased for the sole purpose of gaining access to embedded information
Products can be digitized

Answer 1

Classic information goods

Question 2

Characteristics of information goods (10)

Answer 2

High production (development costs)
No production capacity constraints
Negligible replication costs
Not consumed by use
Experience required to assed value and quality - experience products (ex. Listen to the song or watch a movie to know if it’s good)
Customizable
Reusable
Can be time valued (value may change if consumed at different times - ex. Market reports)
Potential for significant gross/net profit margins

Question 3

Keyword based classification system based on collaborative tagging (social tagging)
-emergence of user created classification schemes adds value to online content

Answer 3

Folksonomy