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From course:

Industrial Strategy 2022

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Question:

What are the supply side determinants of diffusion?

Author: Hjalmer Pedersen



Answer:

1. Degree of improvement – more improvement encourages change and faster diffusion. 2. Compatibility – the more compatible products there are, the faster is the diffusion. 3. Complexity – over complex product or marketing slows down diffusion. 4. Experimentation – ability to test products before purchase (e.g. free trials) encourages diffusion. 5. Relationship management – ease of getting information and support increases diffusion.


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