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Considering the total network effect, what happens when the company decides to expand its number of...

Considering the total network effect, what happens when the company decides to expand its number of distribution centers? Illustrate with example.

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under the total network effect, the company increasing its number of distribution centers would likely to have high demand for its products or services because after increase number of distribution centers company would be able to fulfill the demand of its customers and one customer would affect the perception of others and others would make more purchase.this would create a network.

This can be understood by example in which A Fast food company opens its shops to more places and offer fast home delivery then if one customer find it satisfactory then others would order them too.the one order will lead to other orders and create a network.

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