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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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Benefits of co-operation on innovative performance: evidence from integrated circuits and biotechnology firms in the UK and Taiwan

TL;DR: In this article, the authors examined the relationship between interorganisational co-operation and innovative performance at the firm level and found that a firm's networking ability to co-operate with buyer firms, supplier firms and external organisations is becoming imperative for enhancing innovation in the increasingly distributed innovation process.

Theorizing about the Design of Information Infrastructures: Design Kernel Theories and Principles

TL;DR: These goals are achieved by enacting design principles of immediate usefulness, simplicity, utilization of existing installed base and modularization as shown by the analysis of the design of Internet and the information infrastructure for health care in Norway.
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Technological convergence: a strategic perspective

TL;DR: In this article, the authors study the economic determinants of the strategies of the firms in the Information and Communication Technologies (ICT) sectors and shed some light on the strategic motivations of these firms by establishing a parallel with the evolution of the retailing sector.
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An empirical study on continuance intention of mobile social networking services: Integrating the IS success model, network externalities and flow theory

TL;DR: In this article, the authors identify the factors affecting mobile SNS users' continuance intention, i.e., flow, perceived usefulness and satisfaction, and test the model through the use of structural equation modelling.
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Recent applications of economic theory in Information Technology research

TL;DR: Six areas of economic theory are represented: Information economics, production economics, economic models of organizational performance, industrial organization, institutional economics (agency theory and transaction cost theory), and macroeconomic studies of IT impact.
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.