This content was created by GHION.AI . This content was uploaded by GHION.AI . This is a YouTube video titled "Mike Maples Jr.: Network-Effects Businesses" created on February 2, 2016. It features a talk by Mike Maples Jr. discussing the concept of network effects in business, the importance of understanding network structures, and the historical context of network effect businesses.
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The thing that I would say about network effects is that if you're going to build a network effects business, I think it's important to ask yourself, what is my network? What are the nodes of the network? How do they connect with each other? Where are the connections strong? Where are they not strong? Is it a global network? Is it a hub and spoke network? What does it mean for me to be the network operator? Interestingly, network effect businesses have existed for a long time. They existed with the railroads, they existed with canals, they existed with like RCA and with records and TV. They existed with Craig McCaw and McCaw Cellular. And all of those people thought of themselves as not just lean startup innovator iterators. They conceived of what the network was in the first place. And this is a book I highly recommend. It's by a guy named Yohai Benkler, used to be at Yale, I think he just moved over to Harvard. The book is called the wealth of Networks. And what I think is good about it is it takes a very structured way of thinking to the approach of building networks. And I think that just like you wouldn't build a deep technology business without really understanding the technology in depth, most people when they build a network effects business, I believe should have an ongoing hypothesis of their network at fine grain detail that evolves and migrates through time.
