The car analogy is flawed because it's not a media format. All cars work on all roads, but all media players do not work with all media.
VHS <-------- This format sold more than this format ------------> Betamax
Betamax was superior technology, even though it sold less.
iPod <----------- This media player sold more than this media player -----------> Minidisc
Minidisc provided superior sound quality, even though it sold less.
PS2 <-------- This media player sold more than this media player -------------> Gamecube
Gamecube had twice the processing power and provided superior visuals, even though it sold less.
The point is, media players require media. With low sales, the quantity and quality of media made for the media player declines.
Even if that media player is the "ferrari" of its market, it's no use if it has nowhere to drive.