کد مقاله | کد نشریه | سال انتشار | مقاله انگلیسی | نسخه تمام متن |
---|---|---|---|---|
1026593 | 1483332 | 2011 | 8 صفحه PDF | دانلود رایگان |
In industries influenced by network effects, firms with an established installed base of users experience dueling forces with regard to the quality of their product releases. On one hand, a network effects perspective suggests that such firms have limited incentive to produce higher quality products, as their entrenched installed base represents a significant barrier to competitors. However, a cumulative learning perspective suggests that such firms have the ability to produce higher-quality products than competitors. Grounded in these competing theoretical perspectives, this study examines the relationship between a firm's installed base size and the quality of its product releases in the packaged software industry. Installed base is found to have a positive and significant relationship with product quality, consistent with the cumulative learning perspective. Implications for theory and practice of strategy in network industries are offered and discussed.
Journal: The Journal of High Technology Management Research - Volume 22, Issue 1, 2011, Pages 59–66