The bell phone network strated with less than 100 users in the beginning, as well as radios and tvs. These are all examples of very stong network effect depende

The bell phone network strated with less than 100 users in the beginning, as well as radios and tvs. These are all examples of very stong network effect dependent businesses. All of these businesses had at some point less than 100 users. At some point the self sustained chain reaction took place. This is what makes network effect dependent business attractive and also because one can easily grab and lock the full market keeping competitors away. The key point is how to reach the level where the chain reaction starts. For that you need tactics which increase the value with the few people available. For a phone company trying to sell phone where there is no such thing, offer a phone line to a relative with each phone line bought. Offer phone lines to service providers like doctors, hair cutters, garage, etc. This increase the value of buying a phone line. Facebook, did just that, without knowing it, by starting with Harvard students. There was high value to be part of it and the i initial people made it very attractive. This is lowering the critical mass. No one wanted to look at MySpace.