We develop a model of innovation communities which allows us to address in a systematic way the influence of users and developers as well as communication between and within these groups. Based on this model, we derive a formal approach to quantify communication flows, community activity and community turnover. These measures are calculated using the data of 100 open source software projects. Our empirical analysis shows that: (i) Users play indeed a predominant role in communication, which points towards the vivid role of an active user community; (ii) communication is highly concentrated, which points towards the importance of active individuals and (iii) community turnover exhibits only little correlation with community segregation, which may allow to benefit from high turnover rates while keeping negative effects small. We argue that insight from this extensive analysis not only complements existing case studies, it also provides a reference frame to put these singular results into perspective when aiming at generalizations.
This paper develops a simulation model of the behavior of industrial districts in the face of changes in their environment. By applying Kauffman's N/K-C model to the question of optimum governance in industrial districts facing an external shock, the paper sheds light on the optimum co-ordination mechanism among agents in interdependent industrial networks. Simulation results indicate that collective governance structures with agents adjusting for the sake of the district as a whole perform best in adaptation, whereas individualistic governance modes deliver the worst results. Alliance and leader firm governance forms position themselves in-between these two extremes. However, both modes of governance can be preferable to the collective one if the observation and punishment mechanisms in the district's local culture are not strong enough to impose solidarity among its agents. In this case, a prisoner's dilemma emerges and the collective governance form is replaced by the inferior individualistic one. Through these results, the model highlights the link between governance and district adaptability. It provides an explanation for the trend in Italian districts towards more hierarchical governance structures. Moreover, the identification of the role played by governance structure for district adaptability in changing environments could serve as guidance for future research.
The present article investigates whether modular product architectures deliver better and more differentiated products, given their production in disintegrated and integrated settings. A theoretic model benchmarks the performance of disintegration and integration for different degrees of product modularity by measuring both product quality and differentiation. In line with conventional wisdom, (nearly) modular products befit disintegration insofar as disintegration increases quality. However, disintegration only leads to greater product differentiation than integration if there is substantial entry and exit. These findings-albeit developed with stylised models of disintegration and integration-provide a possible explanation for empirical results showing a decrease in product variety when modular products were produced by independent manufacturers (disintegration). Moreover, the model results predict that industries with limited entry and exit as well as strong winner-take-all dynamics tend to incur a loss in variety if modular products are produced in a disintegrated setting.
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