Network Externalities, Competition, and Compatibility Admin on 04/12/2020 There are many products for which the utility that a user derives from consumption of the good increases with the number of other agents consuming the good. There are several possible sources of these positive consumption externalities. Michael L. Katz; Carl Shapiro Related Category: Notes Post navigation Previous: Previous post: Systems Competition and Network EffectsNext: Next post: Case of the Day: Appropriability and Incentives for Innovation