| dc.description.abstract | Innovation development, production, distribution and consumption networks can be
built up horizontally – with actors consisting only of innovation users (more precisely,
"user/self-manufacturers"). "Free" and "open source" software projects are examples
of such networks, and examples can be found in the case of physical products as well.
User innovation networks can function entirely independently of manufacturers when
(1) at least some users have sufficient incentive to innovate, (2) at least some users
have an incentive to voluntarily reveal their innovations, and (3) diffusion of innovations
by users is low cost and can compete with commercial production and distribution.
When only the first two conditions hold, a pattern of user innovation and trial and
improvement will occur within user networks, followed by commercial manufacturer
and distribution of innovations that prove to be of general interest. In this paper we
explore the empirical evidence related to each of these matters and conclude that
conditions favorable to user innovation networks are often present in the economy | en |
