Question: Sony AM-X is a mirrorless camera that is changing the competitive landscape in the professional camera industry. Originally released in March 2019, the features of

Sony AM-X is a mirrorless camera that is changing the competitive landscape in the professional camera industry. Originally released in March 2019, the features of the camera include a 3:2 aspect ratio, and 28.3 megapixels. As a mirrorless camera, the AM-X is lighter and smaller than DSLR cameras; in fact, the AM-X weighs only 400g, when competitive DSLR cameras weighs 800g. It is available directly to consumers through the Sony website and Sony stores at a price of $6000, which is nearly 10 times the price of regular consumer cameras.

What’s unique about Sony AM-X is its “SmartLight” system. The SmartLight system is a new exposure system that allows AM-X users to take pictures with minimum lighting when compared to existing exposure system (“BrightLight”) used by Sony and its competitors. In fact, photos taken with the Sony AM-X appears two times brighter in the evening when compared to photos taken with cameras that use BrightLight due to the SmartLight. Sony’s decision to pursue advances in a smarter exposure system in cameras came as a result of calls from customer for better lighting in pictures taken at night. In fact, the only difference between Sony AM-X and Sony AM, its predecessor, is the presence of SmartLight.

Sony AM-X has only two competitors in the professional mirrorless camera category; Nikon X1 and Canon EOS-M. Descriptions of the products are provided in Table 1: Product Descriptions.

Table 1: Product Descriptions

AttributesSony AMNikon X1Canon EOS-M
Release DateMarch 2018November 2018January 2019
Aspect Ratio3:2 aspect ratio3:2 aspect ratio3:2 aspect ratio
Pixel Count28.3 megapixels29.0 megapixels28.7 megapixels
Weight400g452g420g
Exposure SystemBrightLightBrightLightBrightLight
Price$5500$5800$5400

Additionally, the quarterly unit sales of each product is provided in Table 2: Unit Sales.

Table 2: Unit Sales

QuarterSony AM-XSony AMNikon X1Canon EOS-M
2018-Q1010000
2018-Q20100000
2018-Q30120000
2018-Q4011003000
2019-Q150700600200
2019-Q2500925625
2019-Q37000600300

Adam Hobbes, VP of marketing at Sony, has been asked to come up with strategies to increase the sales of Sony AM-X. His suggestion? Expanding the distribution of Sony AM-X to retail stores such as BestBuy and Target. He believes that expanding the number of channels available to Sony will increase the sales of Sony AM-X as it increases the reach of the products to the consumers and makes it more convenient for them to purchase.

Please answer the following questions based on the above information:

Q1 What type of consumer good is Sony AM-X? Provide two justifications by using information from the above text.

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