Professional Documents
Culture Documents
multi-sided (2-sided or N-sided network). Same-side network effects refer to the change
in value that occurs for users on the same side with the addition of users on that side.
Here’s a graphic shared in the book that reflects the virtuous cycle
Uber enjoys.
Supply economies of scale Vs demand
economies of scale
In the industrial era, the giant monopolies were created by supply
economies of scale. These were driven by production efficiencies,
which reduce the unit cost of creating the product or service as
the quantities produced increase. These supply economies of
scale can gave the largest company in an industrial economy a
cost advantage that was extremely difficult for competitors to
overcome.