Author Chihiro Watanabe, Jae-Ho Shin, Juho Heikkinen
Publish April - September 2011
   
Title TRANSITION DYNAMISM IN WEB 2.0: EMERGING DYNAMISM OF NEW FUNCTIONALITY IMPACTING ON A SERVICE-ORIENTED ECONOMY
   
Abstract While it has been broadly pointed out that the emergence of Web 2.0 issubstantially changing the traditional Internet-based communicationstructure and is having a significant impact on business behavior, itstransition dynamism remains a black box. Utilizing the monthly trend forJapan's number of Internet co.jp domains over the last 14 years, thispaper attempts to elucidate this dynamism. By means of the Bi-logisticmodel and Bi-Bass model, it was determined that the trend consists of twowaves, Web 1.0 and Web 2.0. Consequently, the timing of the emergenceof each respective wave was identified. Furthermore, the Bi-Bass modeldemonstrates that the transition from Web 1.0 to Web 2.0 is in line withimitator substitutes for the role of innovator leading to an increase in newfunctionality. This dynamism corresponds to open innovation leveragingan increase in M&A.
   
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