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I think that the iPod was designed to take a bit of the market from CDs but not a great deal. The iPod was intended to expand the music market rather than take a piece of it away from existing formats since the iPod can be carried to more places than most CD players. I suspect that the implementation is going to impact CDs more that had been intended. Since people can now easily burn CDs with the music they download from their iPods and make high quality custom CDs with only the music they like, the CD market will likely be affected.

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Q: The textbook discusses music CDs and uses this as an example of supply and demand analysis How will the Apple Ipod innovation affect the musical CD industry?
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