Firms’ Decision Making for Bargaining Point with Product Externality and Compatibility under Declining Industry Environment
碩士 === 國立東華大學 === 企業管理學系 === 98 === This research primarily discusses network externality and compatibility and how to influence firms under a declining industry environment. We know network externalities will increase more and more users and profit to buy a firm’s product in general, but not in a d...
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| Format: | Others |
| Language: | en_US |
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2010
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| Online Access: | http://ndltd.ncl.edu.tw/handle/35029712655401442606 |
| Summary: | 碩士 === 國立東華大學 === 企業管理學系 === 98 === This research primarily discusses network externality and compatibility and how to influence firms under a declining industry environment. We know network externalities will increase more and more users and profit to buy a firm’s product in general, but not in a declining industry. But what if today is still the case under a declining industry environment? We find that if the firm produces products which have network externality features and compatibility, its’ profit declining rate will decrease under a harsh recession in an economic environment. The firms will have more time to stay in the market and develop some strategies to avoid exiting the market.
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