Which of the following products are least likely to have significant network externalities?
A)Cat food.
B)Mobile phones
C)Popular board games.
D)Fax machines.

Question

Quizplus · Accepted Answer

Cat food is a product that is unlikely to have significant network externalities as it is a relatively simple, low-tech product with limited potential for network effects. Unlike products such as mobile phones, which rely heavily on network effects to drive adoption and use, cat food is a product for which individual consumers tend to make purchasing decisions based on their own needs and preferences, rather than on the behavior of other users. Similarly, while popular board games may have some degree of network externality, they are still relatively low-tech products that do not rely as heavily on network effects as more high-tech products like mobile phones or fax machines. Fax machines, in particular, are a product that is heavily reliant on network effects, as their value is largely determined by the number of other users who have fax capability.

Which of the Following Products Are Least Likely to Have