Dynamics of the Behavior to E-Commerce’s Network Effects
Dynamics of the behavior to e-commerce’s network effects zuping zhu
School of management Fuzhou University Fuzhou, China zhuzuping@163.com
Abstract—On the one hand, in network economy era, the traditional economic growth theory cannot explain the benefits of enterprise informationization well. Every customer could easily enter the network because of the quite low costs, and then the increasing customers will push the entire network to be an exponential growth, so information technology plays a positive feedback effect on the network system. On the other hand, based on system dynamics to analysis what the network effects will go on about e-commerce, finds out the relationship between the number of e-commerce network and e-commerce’s value. Therefore, the article analyses the enterprise how to implement ecommerce in order to come about network effects and then to make a great network value, thereby avoiding unsuccessful situation on e-commerce. Keywords-e-commerce; network effects; network value; system dynamics;
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weiqing zhuang
School of management Fuzhou University Fuzhou, China zmakio@yahoo.com.cn research the process of information by system dynamics. Such as Lan Wang points out that Internet is a giant complex evolution system. Yong Tang, a text of “based on system dynamics to research the relationship between information and sustainable development” used system dynamics to analysis information subsystem, but had no in-depth consideration about the factor of network size. To sum up, e-commerce’s network effects is going with the development of information technology, and scholars begin to study on the issue of what value network size can bring to ecommerce. But there are very few researches about ecommerce’s network effects used by system dynamics, and there are few correlative researches in the field. II. PHENOMENON OF E-COMMERCE’S NETWORK EFFECTS
I.
INTRODUCTION
From beginning of economist J.Rohlfs studies on the network effects to the
School of management Fuzhou University Fuzhou, China zhuzuping@163.com
Abstract—On the one hand, in network economy era, the traditional economic growth theory cannot explain the benefits of enterprise informationization well. Every customer could easily enter the network because of the quite low costs, and then the increasing customers will push the entire network to be an exponential growth, so information technology plays a positive feedback effect on the network system. On the other hand, based on system dynamics to analysis what the network effects will go on about e-commerce, finds out the relationship between the number of e-commerce network and e-commerce’s value. Therefore, the article analyses the enterprise how to implement ecommerce in order to come about network effects and then to make a great network value, thereby avoiding unsuccessful situation on e-commerce. Keywords-e-commerce; network effects; network value; system dynamics;
1
weiqing zhuang
School of management Fuzhou University Fuzhou, China zmakio@yahoo.com.cn research the process of information by system dynamics. Such as Lan Wang points out that Internet is a giant complex evolution system. Yong Tang, a text of “based on system dynamics to research the relationship between information and sustainable development” used system dynamics to analysis information subsystem, but had no in-depth consideration about the factor of network size. To sum up, e-commerce’s network effects is going with the development of information technology, and scholars begin to study on the issue of what value network size can bring to ecommerce. But there are very few researches about ecommerce’s network effects used by system dynamics, and there are few correlative researches in the field. II. PHENOMENON OF E-COMMERCE’S NETWORK EFFECTS
I.
INTRODUCTION
From beginning of economist J.Rohlfs studies on the network effects to the