The Process of Network Effect
AbstractThis paper presents a simple model of Network Dynamics to underpin the stages of theoretically understanding Network Effect for better inter-disciplinary and -functional collaboration. It mainly illustrates Social Network Growth as exponentially driven by potential connectivity mutually multiplying with the number of users it attracts. On said principle, the paper further explains how far-reaching networks can create new communities on the Internet. Capping the discussions is an analytical example of Critical Mass (sustainable number) reflective of Network Effect on which it builds up. But there is more to quantitative models as network facilities and user readiness pave the way for network benefits to eventually snowball and sustain network growth.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by DEGIT, Dynamics, Economic Growth, and International Trade in its series DEGIT Conference Papers with number c013_012.
Length: 13 pages JEL Classification:
Date of creation: Nov 2008
Date of revision:
network; externality; critical mass; exponential; group-forming;
You can help add them by filling out this form.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michaela Rank).
If references are entirely missing, you can add them using this form.