1. Complementary products: U(A+B)>U(A)+U(B)
Complementary effect: when A price drops, the demand for B increase.
1) bundle products
2) substitute products might also have complementary effect
The price cut of A 1) might attract more customers to the market, then the market size will grow
Generic Strategy
1. Support the supplier of the complementary products
2. Produce the complementary products by yourself: internalize the positive effects (externalities) that complement each other.
base product+ complementary products
idea: product A sells at a small margin (even loss) to increase the sales of B (high margin)
advantage: make more profit by intelligent pricing
risk: customer doesn't buy product at all
3. Bundling: sell as a package
4. Increasing lock-in: users have switching cost when they switch from A to another substitute. (电话号码？）
有些公司可能在某个领域里是竞争者，另外其他领域里却是合作者。如，索尼和苹果。
