Network effects are the brass ring of the digital age. Companies and investors, especially venture capitalists, are actively reaching for them. And, like platform business models, they can have multiple important effects. Creating surprisingly durable competitive advantages is one of them. First some general comments and then I’ll go into three types of network effects. […]
In this podcast, Jeffrey Towson discusses three ways that network effects can “suck.” These include critical mass and chicken-and-egg problems, interaction failure at scale, and lock-in. Towson argues that network effects are not always the silver bullet that they are often made out to be, and that businesses should be aware of the potential downsides before relying on them.
In this podcast, Jeffrey Towson discusses whether Baidu can become the new AT&T in China. He considers factors such as Baidu’s strengths in search and artificial intelligence, as well as the challenges it faces from rivals like Alibaba and Tencent. For example, Baidu has a strong foothold in the Chinese search market, but it faces competition from Alibaba in the e-commerce market and Tencent in the social media market.
The coronavirus quarantine economy has supercharged the growth of live-streaming and KOLs (key opinion leaders) in China. Taobao Live, a live-streaming platform owned by Alibaba, has seen its user base and sales grow significantly in recent months. This trend is likely to continue as the Chinese economy reopens and consumers increasingly turn to digital channels for shopping and entertainment.
I keep an eye out for digital phenomena where China / Asia is on the frontier. We’ve seen this sort of digital leadership in mobile apps, mobile payments and e-commerce. And after meeting with head of smart cities at Huawei, I am convinced we are seeing the same phenomenon in smart cities. Below is my […]
Cheers from Laos, I’m in the capital Vientiane getting a new visa. And it turns out this is sleepy city is a good place to hide during the coronavirus situation. No crowds. No subways. I rarely pass anyone on the street. I’m literally sitting all alone in a café right now. In terms of Asia […]
Jeff Towson unpacks the all-encompassing impact of digital on business, politics, culture, and society1. Drawing on his experience as a consultant and lecturer at Peking University, Towson discusses how digital tools are transforming industries, expanding human capabilities, and reshaping society1. Discover how software, data technology, and digital innovations are triggering an explosion of new products, services, and business models1.
Jeffrey Towson discusses what Ofo could have done to avoid its downfall. He argues that Ofo made a number of strategic mistakes, including burning through too much cash, expanding too quickly, and failing to innovate. Towson believes that if Ofo had taken a more conservative approach, it might still be in business today.
SF Express, YTO, and the other China express delivery majors have been racing to go public. Faced with shrinking profits and mounting competitive threats, the dream of being the “FedEx of China” is quickly morphing into an arms race in capital and capabilities. Here’s my take on what is going on and what to expect. […]