Network Externalities

question 66

Multiple Choice

Network externalities:

• A) increase the likelihood that an industry will become a winner-take-all industry.
• B) increase competition among existing firms in a market.
• C) weaken forces that lead to monopoly in an industry.
• D) promote the entry of new firms in a market.

---

Definitions:

Assignee

A person, company, or entity who is transferred the rights or interests of another's contract or property.

Privity of Contract

A legal principle that asserts a contract cannot bestow rights or impose obligations on any person who is not a party to the contract.

Intended Beneficiary

A third party to a contract whom the contracting parties intended to benefit directly from their contact.

Condominium Association Agreement

A legal document outlining the rules, regulations, and responsibilities of owning and managing condominium units within a shared property.