What Is a Network Externality

question 193

Multiple Choice

What is a network externality?

• A)It refers to having a network of suppliers and buyers for a good or service.
• B)It refers to lobbying to form a public enterprise.
• C)It refers to a situation in which a product's usefulness increases with the number of people using it.
• D)It refers to a product that requires connection to a network for it to be useful.

---

Definitions:

Mobile Apps

Software applications designed to run on smartphones, tablets, and other mobile devices.

Web Services

Software systems designed to support interoperable machine-to-machine interaction over a network.

Formal Impression

The perception or feeling that something gives off as being official, serious, or professional in nature.

Geographically Dispersed

Refers to individuals or groups spread out over a wide geographical area.