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A Network Formation Model for Social Object Networks

Listed author(s):
  • Somayeh Koohborfardhaghighi

    ()

    (Technology Management, Economics, and Policy, College of Engineering, Seoul National University)

  • Jorn Altmann

    ()

    (College of Engineering, Seoul National University)

Social networks can be differentiated according to the type of entities (i.e., humans or objects) that are represented within them. These networks can be called human networks and social object networks, respectively. Actors in human networks can act strategically to maximize their own payoffs during interactions with other humans. However, actors in social object network (e.g., SaaS service network) are not able to perceive the environment and act strategically upon that at any time. Only when they join the network, humans position them such that it maximizes their payoff. This paper contends that existing network formation models lack sufficient attention to social object networks (e.g., SaaS service networks). Therefore, we propose a new network formation model, through which we are able to explain how a SaaS service network emerges during the service composition procedure by service developers. The new network formulation model not only considers the usage frequency and reputation but also the similarity of the functionalities of the main SaaS services. It also explains how social objects (e.g., SaaS services) can benefit from establishment of links among each other in the network.

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File URL: ftp://147.46.237.98/DP-113.pdf
File Function: First version, 2014
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Paper provided by Seoul National University; Technology Management, Economics, and Policy Program (TEMEP) in its series TEMEP Discussion Papers with number 2014113.

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Length: 16 pages
Date of creation: Jun 2014
Date of revision: Jun 2014
Publication status: Published in International Conference on Logistics, Informatics, and Services Sciences (LISS 2014).
Handle: RePEc:snv:dp2009:2014113
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  1. Nicolas Carayol & Pascale Roux, 2006. "Knowledge flows and the geography of networks. A strategic model of small worlds formation," Working Papers of BETA 2006-16, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
  2. Kibae Kim & Jorn Altmann, 2011. "A Complex Network Analysis of the Weighted Graph of the Web2.0 Service Network," TEMEP Discussion Papers 201178, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Jul 2011.
  3. Robert P. Gilles & Cathleen Johnson, 2000. "original papers : Spatial social networks," Review of Economic Design, Springer;Society for Economic Design, vol. 5(3), pages 273-299.
  4. Jackson, Matthew O. & Wolinsky, Asher, 1996. "A Strategic Model of Social and Economic Networks," Journal of Economic Theory, Elsevier, vol. 71(1), pages 44-74, October.
  5. repec:hal:journl:halshs-00825266 is not listed on IDEAS
  6. Buechel, Berno, 2011. "Network formation with closeness incentives," Center for Mathematical Economics Working Papers 395, Center for Mathematical Economics, Bielefeld University.
  7. Kibae Kim & Jorn Altmann, 2013. "Evolution of the Software-as-a-Service Innovation System Through Collective Intelligence," TEMEP Discussion Papers 2013108, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Dec 2013.
  8. Thayer Morrill, 2011. "Network formation under negative degree-based externalities," International Journal of Game Theory, Springer;Game Theory Society, vol. 40(2), pages 367-385, May.
  9. Kibae Kim & Jorn Altmann & Junseok Hwang, 2010. "Measuring and Analyzing the Openness of the Web2.0 Service Network for Improving the Innovation Capacity of the Web2.0 System through Collective Intelligence," TEMEP Discussion Papers 201057, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Mar 2010.
  10. Somayeh Koohborfardhaghighi & Jorn Altmann, 2014. "How Placing Limitations on the Size of Personal Networks Changes the Structural Properties of Complex Networks," TEMEP Discussion Papers 2014110, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Jan 2014.
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