Adoptions and Orphans in the Early Microcomputer Market
AbstractIn this paper we develop a model with (1) differentiated consumers, (2) endogenous adoption times, (3) technical uncertainty, and (4) alternative technologies sponsored by competing vendors. We identify conditions under which orphaning arises endogenously in a framework of dynamic competition. We then use the model to examine the development of the micro-computer market in the early 1980s, when the orphaning of a widely-adopted operating system occurred. We find that the data characterizing this event are consistent with our theoretical framework.
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Bibliographic InfoPaper provided by EconWPA in its series Industrial Organization with number 9502002.
Length: 37 pages
Date of creation: 23 Feb 1995
Date of revision:
Note: 37 pages LateX file, plus 4 figures in separate postscript file. To request a hard copy, send e-mail to Stella Padeh, Foerder Institute of Economic Research (firstname.lastname@example.org)
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Other versions of this item:
- Gandal, Neil & Greenstein, Shane & Salant, David, 1999. "Adoptions and Orphans in the Early Microcomputer Market," Journal of Industrial Economics, Wiley Blackwell, vol. 47(1), pages 87-105, March.
- Neil Gandal & Shane GreenStein & David Salant, 1997. "Adoptions and Orphans in the Early Microcomputer Market," CARE Working Papers 9705, The University of Texas at Austin, Center for Applied Research in Economics.
- Gandal, N. & Greenstein, S. & Salant, D., 1995. "Adoptions and Orphans in the Early Microcumputer Market," Papers 02-95, Tel Aviv.
- L - Industrial Organization
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