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PDF 116 KB
Pages 809-814
First published 30 July 2014

The Effect of the Network Structure Differences on the Diffusion of Items

Shota Onoda, Shohei Kato and Atsuko Mutoh

Abstract (Excerpt)

This paper presents a multiagent-based simulation approach to the effect of network structure difference on the diffusion of items. Recently, the rapid spread of information and communication technology induces multiplexing of our communication space. As a result, diffusion of products in the market has been changed because the communication affects our behaviors and state of own mind. Network externality is an effect that value of a product depends on the market penetration. It has been known that markets of products having network externality are greatly influenced by interpersonal communication. In this paper, we constructed two network, "offline network" and "online network" that refer to networks before and after the development of information and communication technologies, focusing on such changes and analyzed the differences between network structures. We verified the effect that difference of network structures affects the diffusion of items in network effect markets. We discussed the property of diffusion process in each network and how easily monopolistic diffusion can occur depending on the network structures.