Publications
Publications
- September 1995 (Revised October 1995)
- HBS Case Collection
Transcape Systems: Creating a Market
Abstract
Entrepreneurial companies must overcome substantial barriers to create markets for innovative products in industries reluctant to embrace change. Transcape Systems faces this callenge as it attempts to create a market for interactive multimedia software in the conservative cardiovascular fitness industry. Their software is designed to exercise both mind and body, thereby making cardiovascular exercise more interesting and fun. Having created several CD-ROM titles, the company must convince manufacturers of cardiovascular exercise equipment to build and market machines capable of playing CD-ROMS. Accelerating the creation of an installed base of these machines is becoming increasingly critical to the cash-strapped start-up. As the founders re-evaluate their strategy, they consider market segmentation, exclusive vs. non-exclusive partnerships, diversification, and conflict in the distribution channel.
Keywords
Market Entry and Exit; Applications and Software; Entrepreneurship; Business Startups; Product Marketing; Information Technology Industry; Entertainment and Recreation Industry; Health Industry
Citation
Kosnik, Thomas J., and Dave Frampton. "Transcape Systems: Creating a Market." Harvard Business School Case 596-047, September 1995. (Revised October 1995.)