Technology Adoption in the Presence of Network Externalities: A Web-Based Classroom Game

James R. Wolf - jrwolf@ilstu.edu
Thomas E. Portegys - portegys@ilstu.edu
School of Information Technology, Illinois State University

Abstract

This paper describes a customizable classroom game used to demonstrate the effects of network externalities on the adoption of new technologies. The game is a web-based adaptation of Ruebeck Butkevich (2003) network externalities game. The web-based game is freely available and can be played in a networked lab setting or via the Internet. In this game, players choose one of a number of competing technologies whose utility depends on the number of others choosing the same technology. In subsequent variations, we introduce sequential choice, imperfect information, heterogeneity, "lock-in,"
and switching costs.

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10.1287/ited.8.1.49

Citation Information
Wolf, J. R., Portegys, T. E., 2007. Spreadsheets as a Tool for Teaching Simulation. INFORMS Trans. Ed. 8(1) 49-54. Available online at http://ite.pubs.informs.org/.

DOI: 10.1287/ited.8.1.49