A Network Formation Model for Social Object Networks

Somayeh Koohborfardhaghighi () and Jörn Altmann
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Somayeh Koohborfardhaghighi: Technology Management, Economics, and Policy, College of Engineering, Seoul National University

No 2014113, TEMEP Discussion Papers from Seoul National University; Technology Management, Economics, and Policy Program (TEMEP)

Abstract: Social networks can be differentiated according to the type of entities (i.e., humans or objects) that are represented within them. These networks can be called human networks and social object networks, respectively. Actors in human networks can act strategically to maximize their own payoffs during interactions with other humans. However, actors in social object network (e.g., SaaS service network) are not able to perceive the environment and act strategically upon that at any time. Only when they join the network, humans position them such that it maximizes their payoff. This paper contends that existing network formation models lack sufficient attention to social object networks (e.g., SaaS service networks). Therefore, we propose a new network formation model, through which we are able to explain how a SaaS service network emerges during the service composition procedure by service developers. The new network formulation model not only considers the usage frequency and reputation but also the similarity of the functionalities of the main SaaS services. It also explains how social objects (e.g., SaaS services) can benefit from establishment of links among each other in the network.

Keywords: Software-as-a-Service Network; Network Formation Model; Social Object Networks. (search for similar items in EconPapers)
JEL-codes: C02 C15 C6 D85 L86 O33 (search for similar items in EconPapers)
Pages: 16 pages
Date: 2014-06, Revised 2014-06
New Economics Papers: this item is included in nep-cdm, nep-gth, nep-ict, nep-net and nep-soc
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Published in International Conference on Logistics, Informatics, and Services Sciences (LISS 2014).

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Persistent link: https://EconPapers.repec.org/RePEc:snv:dp2009:2014113

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