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Competing technologies in the database management systems market

Kretschmer, Tobias (2006) Competing technologies in the database management systems market. CEPDP, 737. Centre for Economic Performance, London School of Economics and Political Science, London, UK. ISBN 0753020341

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Abstract

In this paper, we study the dynamics of the market for Database Management Systems (DBMS), which is commonly assumed to possess network effects and where there is still some viable competition in our study period, 2000 – 2004. Specifically, we make use of a unique and detailed dataset on several thousand UK firms to study individual organizations’ incentives to adopt a particular technology. We find that there are significant internal complement effects – in other words, using an operating system and a DBMS from the same vendor seems to confer some complementarities. We also find evidence for complementarities between enterprise resource planning systems (ERP) and DBMS and find that as ERP are frequently specific and customized, DBMS are unlikely to be changed once they have been customized to an ERP. We also find that organizations have an increasing tendency to use multiple DBMS on one site, which contradicts the notion that different DBMS are near-perfect substitutes.

Item Type: Monograph (Discussion Paper)
Official URL: http://cep.lse.ac.uk
Additional Information: © 2006 Tobias Kretschmer
Library of Congress subject classification: T Technology > T Technology (General)
Journal of Economic Literature Classification System: O - Economic Development, Technological Change, and Growth > O3 - Technological Change; Research and Development > O33 - Technological Change: Choices and Consequences; Diffusion Processes
L - Industrial Organization > L8 - Industry Studies: Services > L86 - Information and Internet Services; Computer Software
Sets: Research centres and groups > Managerial Economics and Strategy Group
Collections > Economists Online
Research centres and groups > Centre for Economic Performance (CEP)
Rights: http://www.lse.ac.uk/library/usingTheLibrary/academicSupport/OA/depositYourResearch.aspx
Identification Number: 737
Date Deposited: 23 Jul 2008 09:32
URL: http://eprints.lse.ac.uk/19845/

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