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Author Topic: About the 'Network effect'  (Read 1701 times)

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MSL

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About the 'Network effect'
« on: November 29, 2015, 04:28:59 AM »

Network effect

"In economics and business, a network effect (also called network externality or demand-side economies of scale) is the effect that one user of a good or service has on the value of that product to other people. When a network effect is present, the value of a product or service is dependent on the number of others using it.
The classic example is the telephone. The more people who own telephones, the more valuable the telephone is to each owner. This creates a positive externality because a user may purchase a telephone without intending to create value for other users, but does so in any case."https://en.wikipedia.org/wiki/Network_effect https://en.wikipedia.org/wiki/Wikipedia:Text_of_Creative_Commons_Attribution-ShareAlike_3.0_Unported_License
 Online social networks and forums work in the same way, with sites like Seo-forum-seo-luntan.com becoming more attractive as more users join!
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Re: About the 'Network effect'
« Reply #1 on: October 22, 2016, 04:14:36 AM »
Yes.

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