The role of social conventions in the diffusion of open source software: Implications for service industries

In information and service products such as open source software, increasing returns occur on the production or supply side, as well as network externalities on the demand side. For open source software, the social community element needs to be integrated with the framework of increasing returns. This paper attempts to show that social conventions, and social herding behaviour are fundamental to the growth of the open source software. Such social conventions legitimise value and provide identification in the global online community and have important implications for service industries in general.