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Bargaining power of complements (Complementary products (Examples…
Bargaining power of complements
Complementary products
sales in product A
= Increase in sales for product B
They help each others sales
Better when bought together
What is a complement?
Examples
PC/virus software
Xbox/Games
Phone/phone case
Sky/bundles
Orgs called complementors
Power when
Product becomes commodity
More interested in the complement
Phone = commodity = Whats app = complement
Monopoly is created
Have the only complementary product required
Control on its supply