Question: Assume the information above ( i . e . , from Question 1 Part A , and Questions 2 ) is correct. Willis Carrier the

Assume the information above (i.e., from Question 1 Part A, and Questions 2) is correct. Willis Carrier the head of marketing for Cyrocool approaches you to help him think about channel strategy. Pointing to Cyrocools position at the nexus of the ecosystem between parts suppliers and end customers, Carrier proposes strengthening production and sales channels by discounting Cryocools products to end customers. Discounting will not only increase sales, it will also improve our position with suppliers, further cementing our position as an ecosystem leader, Carrier says. Once network effects start working in our favor, we can raise prices and dramatically increase profitability. What would you advise Mr. Carrier on his proposal? Be sure to explicitly discuss network effects in this context. (15 points)

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