The Competitive Crash in Large-Scale Commercial Computing
We examine the factors underlying buyer demand for large Information Technology solutions in order to understand the competitive crash in large scale commercial computing. We examine individual buyer data from two periods. The first is in the mid 1980's, late in the period of a mature and stable large-systems market. The other period is in the early 1990's, very early in the diffusion of a new, competitive technology, client/server, when many buyers chose to wait for the new technology to mature. We clarify the implications of different theories of the competitive crash and then test them. The most popular theories are far wrong, while the correct view emphasizes the 'internal' adjustment costs to organizations making IT investments. Understanding buyer behavior not only illuminates the competitive crash, but also the factors underlying the slow realization of the social gains to Information Technology in large complex applications more generally.
Year of publication: |
1994-10
|
---|---|
Authors: | Bresnahan, Timothy ; Greenstein, Shane Mitchell |
Institutions: | National Bureau of Economic Research (NBER) |
Saved in:
Online Resource
Extent: | application/pdf |
---|---|
Series: | |
Type of publication: | Book / Working Paper |
Notes: | IO PR published as in Ralph Landan, Timothy Taylor (eds.),The Mosaic of Economic Growth, pp. 357-397, Stanford University Press, Stanford, CA, 1996. Number 4901 |
Source: |
Persistent link: https://www.econbiz.de/10005720763
Saved in favorites
Similar items by person
-
Bresnahan, Timothy,
-
Technical progress and co-invention in computing and in the uses of computers
Bresnahan, Timothy F., (1996)
-
Technological competition and the structure of the computer industry
Bresnahan, Timothy F., (1999)
- More ...