Paper Title
The Study on Network Externalities to Diffusion of Innovative Products - A Case Study of the Line App

Abstract
This work provides the direct network externalities and the indirect network externalities model in regard to products with complementary goods. LINE application downloads were used as the empirical object in this study, the model was used to analyze the impacts of network externalities on product diffusion in different product life cycles in order to provide relevant suggestions. The downloads of the LINE app were not only affected by the power of the product itself but also by the carriers attached to the use of the app. Therefore, smartphones sales as well as the adoption rate of complementary goods into the model could significantly enhance its accuracy in terms of the analysis of the LINE app. Keywords - Diffusion Model; Complement; Direct Network Externalities; Indirect Network Externalities