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Network Effects

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Some of the greatest current brands - Facebook, Amazon, Airbnb, WhatsApp, Uber ( just to mention a few) - have their businesses built upon network effects. Because these and other companies have already learned that the value of their products increases as the importance of the network does. And the curious part of that is the network effects don’t require much maintenance, once they are built, they tend to keep running.

However, not all businesses are able to develop network effects - and not all of them should, anyway. Their dynamics can change a lot depending on the application. Besides, there are many different approaches and strategies, and they are directly dependent on the type of product, service, market, and industry

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