100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
mis 301 midterm 1 Questions with complete solution 2024 $13.49   Add to cart
Quickly navigate to
Preview
  2.  
  3. MIC 301
  4.  
  5. MIC 301

Exam (elaborations)

mis 301 midterm 1 Questions with complete solution 2024

 8 views  0 purchase
  • Course
  • MIC 301
  • Institution
  • MIC 301

mis 301 midterm 1 Questions with complete solution 2024 Network Effects/Metcalfe's Law/Network Externalities - correct answer When the value of a product or service increases as its number of users expands platforms - correct answer products and services that allow for the development and i...

[Show more]

Preview 3 out of 22  pages

Document information

  • August 27, 2024
  • 22
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers

Subjects

Written for

  • MIC 301
  • MIC 301

Seller

avatar-seller
flyhigher329

Reviews received

Content preview

mis 301 midterm 1 - joglekar
Network Effects/Metcalfe's Law/Network Externalities - correct answer
✔When the value of a product or service increases as its number of users
expands


platforms - correct answer ✔products and services that allow for the
development and integration of software products and other complementary
goods, effectively creating an ecosystem of value-added offerings


examples of platforms - correct answer ✔Windows, iOS, Kindle


value derived from network effects comes from - correct answer ✔three
sources: exchange, staying power, and complementary benefits


exchange - correct answer ✔creates value in network effects


staying power - correct answer ✔the long-term viability of a product or
service; networks with greater numbers of users are stronger


switching costs - correct answer ✔relates to staying power; the cost a
consumer incurs when moving from one product to another. aka sticky,
creating friction, lock-in


total cost of ownership (tco) - correct answer ✔an economic measure of the
full cost of owning a product (typically computing hardware and/or software).
includes direct costs such as purchase price, plus indirect costs such as
training, support, and maintenance

,complementary benefits - correct answer ✔products or services that add
additional value to the primary product or service that makes up a network


application programming interfaces (APIs) - correct answer ✔programming
hooks, or guidelines, published by firms that tell other programs how to get a
service to perform a task such as send or receive data


daily active users (dau) - correct answer ✔refers to the number of unique
visitors, on average, who use a product or service


customer acquisition costs (cac) - correct answer ✔the amount of money a
firm spends to convince a customer to buy (or in the case of free products, try
or use) a product or service


one-sided market - correct answer ✔a market that derives most of its value
from a single class of users (e.g. instant messaging)


same-side exchange benefits - correct answer ✔benefits derived by
interaction among members of a single class of participant (e.g. the exchange
value when increasing numbers of IM users gain the ability to message each
other)


two-sided market - correct answer ✔network market that comprises two
distinct categories of participant, both of which are needed to deliver value for
the network to work (e.g. video game console owners and developers of video
games)


cross-side exchange benefit - correct answer ✔when an increase in the
number of users on one side of the market (console owners, for example)
creates a rise in the other side (software developers)

, network markets experience what type of competition? - correct answer
✔early, fierce competition; the positive feedback loop inherent in network
effects causes this. firms are aggressive in early stages because once a
leader becomes clear, bandwagons form, and new adopters overwhelmingly
favor the leader product over rivals


monopolistic tendencies - correct answer ✔network markets are often
winner-take-all or winner-take-most, where one firm dominates all rivals


monopoly - correct answer ✔a market were there are many buyers but only
one dominant seller


natural state of markets where strong network effects are present - correct
answer ✔for there to be one major player; best product doesn't always win.
firms with a commanding network effects advantage enjoy substantial
bargaining power over partners


oligopoly - correct answer ✔a market dominated by a small number of
powerful sellers


technological leapfrogging - correct answer ✔competing by offering a new
technology that is so superior to existing offerings that the value overcomes
the total resistance that older technologies might enjoy via exchange,
switching cost, and complementary benefits; often is not successful


network effects ____ rivals and _____ innovation - correct answer ✔limit;
encourage


strategies for competing in markets with network effects - correct answer ✔-
move early (amazon vs microsoft in cloud computing)
- subsidize product adoption (paypal, zoom)

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller flyhigher329. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $13.49. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

67096 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$13.49
  • (0)
  Add to cart