FindFriend is an instant messaging application for smartphones.New smartphone users find it easier to connect with friends and relatives through this mobile app when compared to other similar instant messaging applications.Hence, it has the largest user base in the industry.Thus, FindFriend app's value has increased primarily due to its _____.

Question

Quizplus · Accepted Answer

FindFriend app's value has increased primarily due to its network effects. Network effects is the positive effect that one user of a product or service has on the value of that product for other users. Network effects occur when the value of a product or service increases, often exponentially, with the number of users.

FindFriend Is an Instant Messaging Application for Smartphones