_ network effects arise when there are "at least two different customer groups that are interdependent, and the utility of at least one group grows as the other group(s) grow".

Related MCQs

• Entry into the telecommunication industry                  the utility of the already connected consumers whereas the utility of newly connected consumers _.
• Network effects also known as                             _
• Supply-side economies of scale arise:
•                             _ occurs when a new technology replaces an old technology, but the old technology yields a higher utility (or profit) to both users than the new technology.
• When there are two software industries, each producing brand-specific software, an increase in the degree of compatibility of the A- machine with the software written for the B- machine,
• When users’ preferences exhibit network externalities, and if computer brands are differentiated and incompatible, then                       _
• Which of the following is NOT an issue involving network externalities?
• Which of the following is a general policy issue surrounding the issue of network externalities?
• Network industries does not include                       _
• Network scales faster as it                                   _