Page "Monopoly" Paragraph 22
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:: Network externalities: The use of a product by a person can affect the value of that product to other people.
This is the network effect.
There is a direct relationship between the proportion of people using a product and the demand for that product.
In other words the more people who are using a product the greater the probability of any individual starting to use the product.
This effect accounts for fads and fashion trends.
It also can play a crucial role in the development or acquisition of market power.
The most famous current example is the market dominance of the Microsoft operating system in personal computers.
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