The age of the platform

7 important questions on The age of the platform

How did platforms (like Google & Facebook) become so central?

They collect your preferences:
-Economy of likes
-Search behavior
-Facebook's Social Plugins: do not only enable a social web, but also partake in multiple dynamics of data mining and circulation.

Problems:
-Privacy
-Personalization

Why do some platforms grow huge, while others fail?

The secret: know your networks.
Outline:
-Networks
-Structural holes
-Network effect: how to become a (near) monopolist
-Open graph
-Herding (samenhouden): richt get richer, virals, long tails.

What are six degrees of Obama being close to us?

1. Coincidence
2. We are elite people (high educated)
3. We meet a lot of people
4. Obama meets a lot of people
5. We attend the VU
6. The people that meet the people that Obama meets meet a lot people.
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Why is BBC on Google's top search results?

Because the news companies have the highest status, they're linked to by many pages that are linked to by many pages etc.

What's Google's business model?

-Advertising
-Since AdSense: Google is an add broker. So they dominate online ad market.
-AdWords: term-related ads are placed on websites: personalised, content-related.
-AdWords/AdSense: based on click through and exposure, google analytics is a supporting tool, personalised adds.

What are the steps in a information cascade?

1. Rational decision making: you have a set of needs and a limited budget; you seek to maximise your satisfaction.
2. Sequential (als gevolg) decision making: choices are not made at the same time, previous choices inform later choices.
3. Social decision making: the outcomes of choices in informed and/or affected by the choices of others.

4. Decision making.

What are direct-benefit effects? (Easley & Kleinberg, 2011)

You may want to copy behavior of others if there is a direct benefit to you from aligning your behavior. For example: consider the first faxmachines to be sold: a fax machine is useless if no one else has one.

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