"Network Effects Revisited: The Role of Strong Ties in Technology Selection"

Academy of Management Journal, vol. 48(4):710-720, 2005.

This paper extends the theory of network effects by moving beyond the traditional treatment of the installed base of a technology as composed of “N” identical users, each having the same effect on the rest of the users. Borrowing from social network theory, I propose the concept of strong-ties network effects as a key determinant of technology adoption in cases where several technologies compete. A discrete-choice model was tested in the wireless telecommunications industry.

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