Networks of Software, 1990-2002: Do Web of Links Contribute to Sales?

44 Pages Posted: 1 Nov 2004  

N. Venkat Venkatraman

Boston University - Department of Management Information Systems

Chi-Hyon Lee

Boston University - Department of Management Information Systems

Bala Iyer

Babson College; Babson College

Date Written: September 2004

Abstract

We develop and test a model of key determinants of software sales based on characteristics of a firm's business scope and network position - especially, cluster coefficient, degree centrality, partner diversity and linkage scope diversity. We use data on a sample of 509 firms in the packaged software industry during 1990-2002 to test our model and find strong empirical support for the additional explanatory power of network characteristics. We also complement the statistical analyses with insights from a decision support system for network visualization that we have built to explore the complexities underlying the operations and temporal evolution of the software industry. We identify a set of implications and future directions and call for researchers to further develop insights on how we can retain the holistic system of inter-linkages amongst firms to better understand organizational actions and firm performance.

Keywords: networks, software industry, network visualization, corporate performance

JEL Classification: O33

Suggested Citation

Venkatraman, N. Venkat and Lee, Chi-Hyon and Iyer, Bala, Networks of Software, 1990-2002: Do Web of Links Contribute to Sales? (September 2004). Available at SSRN: https://ssrn.com/abstract=611181 or http://dx.doi.org/10.2139/ssrn.611181

N. Venkat Venkatraman (Contact Author)

Boston University - Department of Management Information Systems ( email )

595 Commonwealth Avenue
Boston, MA 02215
United States

Chi-Hyon Lee

Boston University - Department of Management Information Systems ( email )

595 Commonwealth Avenue
Boston, MA 02215
United States

Bala Iyer

Babson College ( email )

231 Forest St.
Babson Park, MA 02457-0310
United States

Babson College ( email )

Babson Hall
Babson Park
Boston, MA 02457
United States

HOME PAGE: http://www.balaiyer.com

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