Giveanexample 3

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Unformatted text preview: e f requent appearance o f a no t-in-service graphic kno wn in the Twitter co mmunity as the “f ail whale”). Facebo o k users with a large number o f f riends may also f ind their attentio n is a limited reso urce, as f eeds push so much co ntent that it beco mes dif f icult to separate interesting inf o rmatio n f ro m the no ise o f f riend actio ns. And while netwo rk ef f ects can attract po sitive co mplementary pro ducts, a do minant standard may also be the f irst place where virus writers and malicio us hackers cho o se to strike. Figure 6. 4 The Twit t er Fail Whale Source: Rob Friedman / p layerx / @p x (ht t p ://p x . ns 1 . net ). Feel co nf ident! No w yo u’ve go t a so lid gro unding in netwo rk ef f ects, the key reso urce leveraged by so me o f the mo st do minant f irms in techno lo gy. And these co ncepts apply beyo nd the realm o f tech, to o . Netwo rk ef f ects can explain pheno mena ranging f ro m why so me sto ck markets are mo re po pular than o thers to why English is so widely spo ken, even amo ng gro ups o f no nnative speakers. On to p o f that, the strategies explo red in the last half o f the chapter sho w ho w to use these principles to snif f o ut, create, and pro tect this key strategic asset. Go f o rth, tech pio neer— o ppo rtunity awaits! K E Y TAK E AWAYS Moving early matters in network markets—firms that move early can often use that time to establish a lead in users, swit...
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This document was uploaded on 01/31/2014.

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