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In the context of network effects and standard races, explain what is a dominant design? Are...

In the context of network effects and standard races, explain what is a dominant design? Are dominant designs always optimal?
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A dominant design is something that becomes standardy standard and is followed and adopted by majority of the customers. An example of it would be Blu-Ray discs, which were adopted by most of the industry as opposed to HD-DVD. Network effects is the effect when the value of a good increases as more and more people adopt it. This increased 'network' of adopters provide value to the good.

Dominant designs are not always optimal, they are simply the most adopted. They are optimal many times, but not always. An example would be Betamax vs VHS. Betamax was a technically superior design, but still VHS became the dominant design.

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