The Application of Cellular Automata to the Theory of Consumers' Learning and Behavioral Interdependence Sobei H. Oda, Kouhei Iyori, MIURA Ken, Kanji Ueda
Abstract
	This paper describes competition between such products as operating systems or applications for which demand is crucially affected by network externalities Êand consumers' learning Êby doing. In fact consumers' reservation prices for such products seem strongly depend on how long they have used (consumers' learning by doing) and how many of others will use them (network externally). By giving memory to each cell and introducing a rivalling product to the Cellular automata Êmodel of Oda[ 3], this paper presents a CA+Agent Êmodel and results of its simulations. Among them: that only one product may survive competition for most initial conditions if consumers' reservation prices for products do not increase very much by learning; that very small difference in the initial condition may change the final winner.

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