Supply chains will decide the next gen format war?

Discussion in 'DVD Video' started by Allan, Jul 26, 2005.

  1. Allan

    Allan Guest

    http://www.afterdawn.com/news/archive/6670.cfm

    Supply chains will decide the next gen format war?

    25 July 2005 16:10 by cd-rw.org
    [picture]The Blue-ray vs. HD-DVD, once again. I don't know if
    everything is already said about this - twice. AMR Research has
    published an article which is if not fresh, but at least a good
    reminder back from the VHS vs. Beta age. As most of us know the better
    format lost the fight. The decisive blows were delivered in
    non-technological fields.

    DreamWorks’ recent DVD sales woes reflect the harsh supply chain
    dynamics of the industry. As studios ready for battle over new
    hardware standards, supply chain competence may make the difference.
    ...
    The Bottom Line: With super short lifecycles, the big-studio DVD
    title depends on the supply chain to succeed. Less obvious is that the
    standards battle hinges on the same thing: demand responsiveness.
    Consumer demand patterns for products like video games and home
    movies sell up to 80% of their total volume in the first two weeks
    after launch. This past weekend’s Harry Potter release is a case in
    point (see Nigel Montgomery’s Insight Europe column titled “If Only
    Harry Potter Was Delivering the PSP”). This front-end loaded demand
    makes distribution very difficult because of the lack of historical
    data for demand forecasting, and the extremely short shelf life leaves
    little room for quantity adjustment after the fact. Add in retailers’
    practice of returning unsold product to publishers, and you have the
    ingredients of a hyper-supply chain.






    "Arguing with anonymous strangers on the Internet is a sucker's game
    because they almost always turn out to be -- or to be indistinguishable from
    -- self-righteous sixteen-year-olds possessing infinite amounts of free time."
    - Neil Stephenson, _Cryptonomicon_
     
    Allan, Jul 26, 2005
    #1
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  2. Allan

    Guest

    I do not agree that the CHAINS will decide it all or even most of it as
    lets face facts it is the Consumer who is the one who has to pay for
    it!

    And if the consumer does not pay the chains will not carry it!

    In fact as I see it there are three things (#1.Price #2 Ease of use #3
    Compatibility with older technology) that have to be met in order to
    have either (or any one of them as a matter of fact) be considered a
    successor to the current DVD format!

    After all (for example) if the three things I have listed had been met
    on another failed format we would now be talking about the Third
    Generation of Laser Disc coming out instead of the Second Generation
    format of DVD!






    Allan wrote:
    > http://www.afterdawn.com/news/archive/6670.cfm
    >
    > Supply chains will decide the next gen format war?
    >
    > 25 July 2005 16:10 by cd-rw.org
    > [picture]The Blue-ray vs. HD-DVD, once again. I don't know if
    > everything is already said about this - twice. AMR Research has
    > published an article which is if not fresh, but at least a good
    > reminder back from the VHS vs. Beta age. As most of us know the better
    > format lost the fight. The decisive blows were delivered in
    > non-technological fields.
    >
    > DreamWorks' recent DVD sales woes reflect the harsh supply chain
    > dynamics of the industry. As studios ready for battle over new
    > hardware standards, supply chain competence may make the difference.
    > ...
    > The Bottom Line: With super short lifecycles, the big-studio DVD
    > title depends on the supply chain to succeed. Less obvious is that the
    > standards battle hinges on the same thing: demand responsiveness.
    > Consumer demand patterns for products like video games and home
    > movies sell up to 80% of their total volume in the first two weeks
    > after launch. This past weekend's Harry Potter release is a case in
    > point (see Nigel Montgomery's Insight Europe column titled "If Only
    > Harry Potter Was Delivering the PSP"). This front-end loaded demand
    > makes distribution very difficult because of the lack of historical
    > data for demand forecasting, and the extremely short shelf life leaves
    > little room for quantity adjustment after the fact. Add in retailers'
    > practice of returning unsold product to publishers, and you have the
    > ingredients of a hyper-supply chain.
    >
    >
    >
    >
    >
    >
    > "Arguing with anonymous strangers on the Internet is a sucker's game
    > because they almost always turn out to be -- or to be indistinguishable from
    > -- self-righteous sixteen-year-olds possessing infinite amounts of free time."
    > - Neil Stephenson, _Cryptonomicon_
     
    , Jul 26, 2005
    #2
    1. Advertising

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