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Is your hit product a ‘gateway product’?

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The challenge is to figure out what its shelf life is. Here are the questions to ask. Remember the Flip video recorder? In 2009, it was a sensation—a dead-simple, pocket-size recorder that let ordinary people capture and share moments without lugging around a camcorder or figuring out complicated settings. Cisco acquired Flip’s maker, Pure Digital Technologies, for $590 million in stock. Two years later, Cisco shut Flip down entirely.