A collection of content I’ve written about Network Effects, Growth and Defensibility. Last Updated 2017.

How software monopolies are built and broken

A talk I did for Product School.


How do network effects drive growth? — a Quora answer

In very simple terms a product with a network effect is one that becomes better for everyone as more people use it. The canonical example is a telephone and associated network. If you’re the only one with a phone, it has no value, but if nearly everyone has it, the next person to get one gets a lot of value from it.

Products with network effects grow usage when the network value exceeds switching costs. There’s always some cost to joining a network. For phones, it is your monthly bill, for Facebook it is time and attention you give the product, etc. At some point the value starts to exceed the switching costs and growth explodes. This point is what’s called a “tipping point” in popular media.

This is a common reason why products with network effects are subsidized heavily early on, to get them quickly to the point where the value exceeds the switching costs.

Are undocked electric scooters a winner take all market? —a Quora answer

Not necessarily, but it lends itself well to local oligopolies with a small number of players each. Let’s look at the factors influencing the market.

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