Dropbox had grown with a consumer focus; however, the company realized that to become a substantial company, they cannot ignore business/enterprise customers. Sam Sampath had been hired by Dropbox as a Product Manager after graduating from the University of California and had experienced significant career growth to become a Director. Senior leadership assigned Sam to design and grow the company's product line for the business customers. At the time of this assignment, Dropbox provided a robust product line for individual consumers with sought-after features such as safe vaults and password protection. Two individual consumer plans were offered: a lower-tier tier offering 2000 GB of capacity at $120 a year and a second-tier offering 3000 GB of capacity at $180 a year. Sam was focused on creating the product strategy and roadmap for business customers, who needed different file access rights management features. As a first step, Sam tasked the marketing team to do willingness to pay studies: to estimate how business customers valued the storage capacity. Studies revealed the existence of two segments with nearly equal sizes (of roughly 100k customers per segment): A lower end "Small and Medium Business" (SMB) segment valued each gigabyte of storage at 6 cents per year. The higher-end Enterprise segment valued each gigabyte of storage at 12 cents per year. Are consumer preferences over storage capacity an example of horizontal or vertical differentiation