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MBA861FinalExamKevinRobinson

The Long Tail
by

Kevin Robinson

on 26 April 2010

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Transcript of MBA861FinalExamKevinRobinson

The Long Tail What is The Long Tail? http://www.wired.com/wired/archive/12.10/tail.html Introduced by Chris Anderson in 2004 in Wired Magazine In this article: The idea is that there's a huge market for obscure, low-volume items, including books, music, movies, and anything else. The "Top-40" and "bestsellers" are the short tail, everything else is the long tail. And further explained here: Some examples of companies using the long tail are: Amazon http://www.amazon.com Amazon makes money by selling things cheaply. But.... Also by letting me find every book I could ever want. After all, Where else can I buy both a popular book for my 4 and 3-year olds... And also buy for myself an obscure work of fiction about a Russian madman who took control of Mongolia for five months in 1921? Rhapsody does the same thing with music..... And Netflix does it with movies http://www.rhapsody.com http://www.netflix.com How do Amazon, Rhapsody, and Netflix do all this profitably? Their items are kept in a low-rent warehouse or on a server versus a high-rent retail space And what does this mean for the shareholder? A long tail of products, an almost unlimited supply of profits And what does it mean to you? It means you don't have to listen to this: And explained further in the following video And That's The Long Tail
Get it? See the long tail?
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