alleryStart learning →Which entry barrier is also known as the network effect?
ACapital requirements
BSupply-side economies of scale
CExpected retaliation
DDemand-side benefits of scale
Answer & Solution
Correct answer: D. Demand-side benefits of scale
When a buyer's willingness to purchase rises with other people's willingness to purchase, it is the network effect, a demand-side benefit of scale.
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