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Entrepreneurial Innovation: Killer Apps in the Iphone Ecosystem

8 Pages Posted: 6 Mar 2014 Last revised: 13 Mar 2014

Pai-Ling Yin

Marshall School of Business, University of Southern California

Jason P. Davis

INSEAD

Yulia Chhabra

University of Michigan at Ann Arbor

Date Written: March 2, 2014

Abstract

The mobile applications (apps) industry has exhibited rapid entry and growth in the midst of a recession. Using unique data from the iPhone application ecosystem, we examine how the development of "killer apps" (apps appearing in the top grossing rank) varies by market and app characteristics. We find that previous app experience and no updating increase the likelihood of becoming a killer game app, while more updates increase the likelihood of becoming a non-game killer app. Development opportunities, level of competition, and demand preferences are possible drivers of the opposing innovation process results in game and non-game markets.

Suggested Citation

Yin, Pai-Ling and Davis, Jason P. and Chhabra, Yulia, Entrepreneurial Innovation: Killer Apps in the Iphone Ecosystem (March 2, 2014). American Economic Review, Papers and Proceedings, Forthcoming. Available at SSRN: https://ssrn.com/abstract=2403624 or http://dx.doi.org/10.2139/ssrn.2403624

Pai-Ling Yin

Marshall School of Business, University of Southern California ( email )

United States

Jason P. Davis (Contact Author)

INSEAD ( email )

1 Ayer Rajah Avenue
Singapore
Singapore

Yulia Chhabra

University of Michigan at Ann Arbor ( email )

701 Tappan Street
Ann Arbor, MI 48109
United States

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