Question 1

The authors assert that network effects result from getting the right customers, and not just more customers. Think of some service you use where there are network effects and this happens.

Question 2

The authors of the article point out that network effects could also work in reverse.If some people stop using some service, there could be a sharp drop in the numbers using it. At some point the firm providing the service might disappear.Can you think of some service, where there are network effects, that fewer people are using? Can you think of some service, where there are network effects, where you have stopped using the services of one firm and moved to another?Be specific.

Reference: https://www.cato.org/sites/cato.org/files/serials/files/regulation/2017/12/regulation-v40n4-1.pdf