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a16z Podcast: Getting Network Effects

a16z Podcast

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Understanding Network Effects in Business Growth

This chapter explores the intricacies of network effects, focusing on the distinction between user engagement and actual network value in businesses. Using Facebook's growth metrics as a case study, it emphasizes the importance of user retention and strategic decision-making in achieving network effects. The discussion also addresses common challenges faced by startups, such as the 'chicken and egg' problem, and highlights effective strategies for overcoming them in local and global marketplaces.

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