Presentation on Networks in terms of Economics
The document discusses different types of networks including communication networks, power grids, business networks, social networks, and network marketing. It notes that networks are important because products generate value when used together with other complementary products. The key types are defined as communication networks connecting messages between parts of a network, power grids for bulk electricity transfer, business networks creating opportunities through connected business people, social networks being structures of connected individuals, and network marketing using independent promoters compensated on commission. Features discussed include networks tipping towards dominant products, history and expectations mattering, and complicated dynamics of scale, expectations and tipping leading to winner-take-all outcomes.
Presentation on Networks in terms of Economics
- 1. GAURAV TARANEKAR SCHUMPETER HALL 09PR001012B067 NETWORKS
- 2. Agenda Introduction Importance of Network Types of Network Features of Network Conclusion
- 3. Introduction A network is a series of points or nodes interconnected by communication paths. Communication Network Rail/Road Network Social Network
- 4. Why Network is Important Many products have little use by themselves and generate value only when they are used with combination of other products. Such products are strongly complementary. ATM cards Fuel Stations Pipelines
- 6. Communication Network A telecommunications network is a network of telecommunications links and nodes arranged so that messages may be passed from one part of the network to another over multiple links and through various nodes.
- 7. Power Grids Electric power transmission is the bulk transfer of electrical energy, a process in the delivery of electricity to consumers.
- 8. Business Networking Business networking is a marketing method by which business opportunities are created through networks of like-minded business people. Online business networking Face-to-face business networking General business networking
- 9. Social Networking A social network is a social structure made of individuals called "nodes," which are connected by one or more specific types of interdependency, such as friendship, financial exchange, dislike, knowledge or prestige .
- 10. Network Marketing Network Marketing is a term that describes a marketing structure which is designed to create a marketing and sales force by compensating promoters of company products. Products of company marketed directly to the customers. Independent, Unsalaried persons are used. They all work on the commission base.
- 11. Features of Network Network markets are “tippy”. Equilibrium market tips toward one or few products. Computer operating system Microsoft Windows History Matters in Network markets. QWERTY keyboard Networks involve a complicated interplay of economies of scale, expectations, dynamics and tipping. Winner-take all
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