Page 49 - Complexity Perspective_Neat
P. 49

of the population had a refrigerator the economics of delivering ice
                  collapsed.
                      ●  Since the publication of Malcolm Gladwell's book, hunting
                         tipping points has become a popular hobby in the press.
                         However, not all apparent tipping points are real, often the
                         turning points in an S-curve can be mistaken for a tipping point

                         when, in reality, they are an artifact of the curve itself.


                      ●  There are two kinds of tipping point.
                         A direct tip where the change occurs in the variable itself;
                         example, a respected investor sells his/her holdings in a
                         company triggering others to dump the stock.
                         The second is a contextual tip, where a change in some other
                         variable so changes the context that the variable of interest
                         shifts. Example, the Treasury Secretary comments that an
                         interest rate rise is likely; the next day there is a sell-off in the
                         bond market. The Secretary did not buy or sell bonds or even

                         make a recommendation but the context was changed.

                         Both direct and contextual tips may be deliberate, the result of a
                         manipulative action. Such manipulations may be legal in the
                         normal course of business, others may be illegal or immoral
                         designed to induce panic for profit.


                      ●  Initial tips: These are tips at the start of diffusion. When the
                         diffusion of Facebook through the population occurred, it
                         described the expected S-shape with the upswing in the adoption
                         curve occurring about 2007: an apparent tipping point. But,
                         further research could not discover any reason behind the
                         upswing other than the normal operating of diffusion, a
                         graphical phenomenon.

                         However, it could be argued that there was indeed a tipping
                         point for Facebook but that it occurred much earlier. The real
                         tipping point occurred when Zuckerburg put up the first
                         “thefacebook” page thereby changing the world of social media
                         interactions forever.   A similar argument could be made for
                         Wikipedia or Google.



                                                                                                      49
                  ©Business Games Works 2018 (V1 Beta)
   44   45   46   47   48   49   50   51   52   53   54