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Network externalities, competition, and compatibility

Michael L. Katz
- 01 Jan 1985 - 
- Vol. 75, Iss: 3, pp 424-440
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This article is published in The American Economic Review.The article was published on 1985-01-01 and is currently open access. It has received 6100 citations till now. The article focuses on the topics: Network economics.

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Direct and indirect network effects: are they equivalent?

TL;DR: In this paper, the authors show that the ways in which direct and indirect effects influence technological standardization are quite different, and that some parameter changes have opposite effects in the two models, and some factors which are irrelevant under direct effects are central under indirect effects.
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Simultaneous vs. Sequential Group-Buying Mechanisms

TL;DR: In this article, the design of group-buying mechanisms in a two-period game where cohorts of consumers arrive at a deal and make sign-up decisions sequentially was studied.
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Innovation and competition in the smartphone industry

TL;DR: In this article, the authors investigated whether a dominant design has emerged in the smartphone industry and studied the evolution in hardware components relying upon an original dataset of product characteristics including all smartphones launched in the market between 2004 and 2013.

Handbook of Technology and Innovation Management

Scott Shane
TL;DR: Agarwal et al. as mentioned in this paper discuss the evolution of technology, markets, and industry, and present a review of the past, a description of the present, and a sketch of the future.
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Strategizing industry structure: the case of open systems in a low-tech industry.

TL;DR: In this paper, a survey of the U.S. tabletop role-playing game industry showed that the introduction of an open system in a sector creates an entry induction phenomenon and that these new entrants adopt more readily the open system than incumbents.
References
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Monopoly, quality, and regulation

TL;DR: In this paper, the authors argue that under regimes of monopoly and monopolistic competition, product characteristics (which are often endogenous variables) are not usually optimally set under the pressure of market forces, and that regulation is also beset with difficulties when price and quality are decision variables.
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Critical Mass and Tariff Structure in Electronic Communications Markets

TL;DR: In this article, the authors developed an economic model that determines both the required critical mass size for startup and the ultimate expansion level of such a system and evaluated the effects of different pricing structures for the service under the assumption that users maximize benefits minus cost and a monopoly supplier maximizes profit.
Posted Content

Tax Analysis in an Oligopoly Model

TL;DR: In this article, the authors use the conjectural variations model of oligopoly to analyze the way in which the incidence of a tax depends upon the pattern of firm interaction and show that the errors that arise in excess burden calculations when incorrect assumptions on market structure are made.
Journal ArticleDOI

Tax Analysis in an Oligopoly Model

TL;DR: In this paper, the authors use the conjectural variations model of oligopoly to analyze the way in which the incidence of a tax depends on the pattern of firm interaction and show that the errors that can arise in excess burden calculations when incorrect assumptions on market structure are made.