IDEAS home Printed from https://ideas.repec.org/a/inm/orisre/v24y2013i4p1087-1099.html
   My bibliography  Save this article

Research Note ---A Dynamic View of the Impact of Network Structure on Technology Adoption: The Case of OSS Development

Author

Listed:
  • Gang Peng

    (Williamson College of Business Administration, Youngstown State University, Youngstown, Ohio 44555)

  • Debabrata Dey

    (Foster School of Business, University of Washington, Seattle, Washington 98195)

Abstract

We examine how network centrality and closure, two key aspects of network structure, affect technology adoption. In doing so, we consider the content of potential information flows within the network and argue that the impact of network structure on technology adoption can be better understood by separately examining its impact from two groups of alters---current and potential adopters. We contend that increased network centrality and closure among current adopters contribute positively to adoption, whereas the same among potential adopters has exactly the opposite impact. Accordingly, we propose a dynamic view where the fraction of current adopters in the network positively moderates the impact of network centrality and closure. We empirically test the theory by analyzing the adoption of software version control technology by open source software projects. Our results strongly support the theory.

Suggested Citation

  • Gang Peng & Debabrata Dey, 2013. "Research Note ---A Dynamic View of the Impact of Network Structure on Technology Adoption: The Case of OSS Development," Information Systems Research, INFORMS, vol. 24(4), pages 1087-1099, December.
  • Handle: RePEc:inm:orisre:v:24:y:2013:i:4:p:1087-1099
    DOI: 10.1287/isre.2013.0494
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1287/isre.2013.0494
    Download Restriction: no

    File URL: https://libkey.io/10.1287/isre.2013.0494?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Josh Lerner, 2005. "The Scope of Open Source Licensing," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 21(1), pages 20-56, April.
    2. Wai Fong Boh & Sandra A. Slaughter & J. Alberto Espinosa, 2007. "Learning from Experience in Software Development: A Multilevel Analysis," Management Science, INFORMS, vol. 53(8), pages 1315-1331, August.
    3. Jenkins, Stephen P, 1995. "Easy Estimation Methods for Discrete-Time Duration Models," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 57(1), pages 129-138, February.
    4. Antonio Capaldo, 2007. "Network structure and innovation: The leveraging of a dual network as a distinctive relational capability," Strategic Management Journal, Wiley Blackwell, vol. 28(6), pages 585-608, June.
    5. Simon Rodan & Charles Galunic, 2004. "More than network structure: how knowledge heterogeneity influences managerial performance and innovativeness," Strategic Management Journal, Wiley Blackwell, vol. 25(6), pages 541-562, June.
    6. J. J. Po-An Hsieh & Arun Rai & Mark Keil, 2011. "Addressing Digital Inequality for the Socioeconomically Disadvantaged Through Government Initiatives: Forms of Capital That Affect ICT Utilization," Information Systems Research, INFORMS, vol. 22(2), pages 233-253, June.
    7. Fred D. Davis & Richard P. Bagozzi & Paul R. Warshaw, 1989. "User Acceptance of Computer Technology: A Comparison of Two Theoretical Models," Management Science, INFORMS, vol. 35(8), pages 982-1003, August.
    8. Akbar Zaheer & Geoffrey G. Bell, 2005. "Benefiting from network position: firm capabilities, structural holes, and performance," Strategic Management Journal, Wiley Blackwell, vol. 26(9), pages 809-825, September.
    9. Xin Xu & Viswanath Venkatesh & Kar Yan Tam & Se-Joon Hong, 2010. "Model of Migration and Use of Platforms: Role of Hierarchy, Current Generation, and Complementarities in Consumer Settings," Management Science, INFORMS, vol. 56(8), pages 1304-1323, August.
    10. Katz, Michael L & Shapiro, Carl, 1986. "Technology Adoption in the Presence of Network Externalities," Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 822-841, August.
    11. Goolsbee, Austan & Klenow, Peter J, 2002. "Evidence on Learning and Network Externalities in the Diffusion of Home Computers," Journal of Law and Economics, University of Chicago Press, vol. 45(2), pages 317-343, October.
    12. Martin Gargiulo & Mario Benassi, 2000. "Trapped in Your Own Net? Network Cohesion, Structural Holes, and the Adaptation of Social Capital," Organization Science, INFORMS, vol. 11(2), pages 183-196, April.
    13. Michael L. Katz & Carl Shapiro, 1994. "Systems Competition and Network Effects," Journal of Economic Perspectives, American Economic Association, vol. 8(2), pages 93-115, Spring.
    14. Viswanath Venkatesh & Xiaojun Zhang & Tracy A. Sykes, 2011. "“Doctors Do Too Little Technology”: A Longitudinal Field Study of an Electronic Healthcare System Implementation," Information Systems Research, INFORMS, vol. 22(3), pages 523-546, September.
    15. Rebeca Méndez-Durón & Clara García, 2009. "Returns from social capital in open source software networks," Journal of Evolutionary Economics, Springer, vol. 19(2), pages 277-295, April.
    16. Lionel P. Robert & Alan R. Dennis & Manju K. Ahuja, 2008. "Social Capital and Knowledge Integration in Digitally Enabled Teams," Information Systems Research, INFORMS, vol. 19(3), pages 314-334, September.
    17. Rajdeep Grewal & Gary L. Lilien & Girish Mallapragada, 2006. "Location, Location, Location: How Network Embeddedness Affects Project Success in Open Source Systems," Management Science, INFORMS, vol. 52(7), pages 1043-1056, July.
    18. Catherine Tucker, 2008. "Identifying Formal and Informal Influence in Technology Adoption with Network Externalities," Management Science, INFORMS, vol. 54(12), pages 2024-2038, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yang Gao & Wenjing Duan & Huaxia Rui, 2022. "Does Social Media Accelerate Product Recalls? Evidence from the Pharmaceutical Industry," Information Systems Research, INFORMS, vol. 33(3), pages 954-977, September.
    2. Chen, Xi & Shangguan, Wuyue & Liu, Yanchu & Wang, Shichao, 2021. "Can network structure predict cross-sectional stock returns? Evidence from co-attention networks in China," Finance Research Letters, Elsevier, vol. 38(C).
    3. Wuyue (Phoebe) Shangguan & Alvin Chung Man Leung & Ashish Agarwal & Prabhudev Konana & Xi Chen, 2022. "Developing a Composite Measure to Represent Information Flows in Networks: Evidence from a Stock Market," Information Systems Research, INFORMS, vol. 33(2), pages 413-428, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jullien, Bruno & Pavan, Alessandro & Rysman, Marc, 2021. "Two-sided Markets, Pricing, and Network Effects," TSE Working Papers 21-1238, Toulouse School of Economics (TSE).
    2. Daniel Birke, 2009. "The Economics Of Networks: A Survey Of The Empirical Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 23(4), pages 762-793, September.
    3. Michael Weiler & Oliver Hinz, 2019. "Without each other, we have nothing: a state-of-the-art analysis on how to operationalize social capital," Review of Managerial Science, Springer, vol. 13(5), pages 1003-1035, November.
    4. Daniel Björkegren, 2022. "Competition in network industries: Evidence from the Rwandan mobile phone network," RAND Journal of Economics, RAND Corporation, vol. 53(1), pages 200-225, March.
    5. Netsanet Haile & Jörn Altmann, 2016. "Structural analysis of value creation in software service platforms," Electronic Markets, Springer;IIM University of St. Gallen, vol. 26(2), pages 129-142, May.
    6. Arun Sundararajan & Foster Provost & Gal Oestreicher-Singer & Sinan Aral, 2013. "Research Commentary ---Information in Digital, Economic, and Social Networks," Information Systems Research, INFORMS, vol. 24(4), pages 883-905, December.
    7. Kartik Kalaignanam & Tarun Kushwaha & Anand Nair, 2017. "The Product Quality Impact of Aligning Buyer-Supplier Network Structure and Product Architecture: an Empirical Investigation in the Automobile Industry," Customer Needs and Solutions, Springer;Institute for Sustainable Innovation and Growth (iSIG), vol. 4(1), pages 1-17, September.
    8. Hussinger, Katrin & Schwiebacher, Franz, 2013. "The value of disclosing IPR to open standard setting organizations," ZEW Discussion Papers 13-060, ZEW - Leibniz Centre for European Economic Research.
    9. Thorsten Koch & Josef Windsperger, 2017. "Seeing through the network: Competitive advantage in the digital economy," Journal of Organization Design, Springer;Organizational Design Community, vol. 6(1), pages 1-30, December.
    10. Ma, Xufei & Yao, Xiaotao & Xi, Youmin, 2009. "How do interorganizational and interpersonal networks affect a firm's strategic adaptive capability in a transition economy?," Journal of Business Research, Elsevier, vol. 62(11), pages 1087-1095, November.
    11. Stefano Colombo & Luca Grilli & Cristina Rossi-Lamastra, 2014. "Network Externalities, Incumbent’s Competitive Advantage and the Degree of Openness of Software Start-Ups," Computational Economics, Springer;Society for Computational Economics, vol. 44(2), pages 175-200, August.
    12. Brunswicker, Sabine & Schecter, Aaron, 2019. "Coherence or flexibility? The paradox of change for developers’ digital innovation trajectory on open platforms," Research Policy, Elsevier, vol. 48(8), pages 1-1.
    13. Sang Yoon Shin, 2019. "Network advantage’s effect on exit performance: examining venture capital’s inter-organizational networks," International Entrepreneurship and Management Journal, Springer, vol. 15(1), pages 21-42, March.
    14. John Mayo & Scott Wallsten, 2011. "From Network Externalities to Broadband Growth Externalities: a Bridge not yet Built," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 38(2), pages 173-190, March.
    15. Belleflamme,Paul & Peitz,Martin, 2015. "Industrial Organization," Cambridge Books, Cambridge University Press, number 9781107687899, September.
    16. Guan, Jiancheng & Zhang, Jingjing & Yan, Yan, 2015. "The impact of multilevel networks on innovation," Research Policy, Elsevier, vol. 44(3), pages 545-559.
    17. Goldenberg, Jacob & Libai, Barak & Muller, Eitan, 2010. "The chilling effects of network externalities," International Journal of Research in Marketing, Elsevier, vol. 27(1), pages 4-15.
    18. Niam Yaraghi & Anna Ye Du & Raj Sharman & Ram D. Gopal & Ram Ramesh, 2015. "Health Information Exchange as a Multisided Platform: Adoption, Usage, and Practice Involvement in Service Co-Production," Information Systems Research, INFORMS, vol. 26(1), pages 1-18, March.
    19. Wang, Jing, 2012. "Survival factors for Free Open Source Software projects: A multi-stage perspective," European Management Journal, Elsevier, vol. 30(4), pages 352-371.
    20. Fabio M. Manenti & Stefano Comino & Marialaura Parisi, 2005. "From Planning to Mature: on the Determinants of Open Source Take-Off," Industrial Organization 0507006, University Library of Munich, Germany, revised 29 Sep 2005.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:inm:orisre:v:24:y:2013:i:4:p:1087-1099. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Asher (email available below). General contact details of provider: https://edirc.repec.org/data/inforea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.