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Net Gain:
Expanding Markets Through Virtual Communities

The Best of Online Shopping

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The authors argue that online communities go through four phases:
1. Virtual villages, which are fragmented
2. Consolidation around an interest or topic area
3. Formation of satellite coalitions
4. Integrated infomediary, acting as an agent for community members.

They see building virtual communities as a business, and show how to manage the growth of a community, encouraging spontaneous expansion, while focusing on aspects that create value for your company.  They show how to pitch a senior manager with a plan for getting into the business, but point out that marketing and sales folks will also have to rethink what they do, to make this startup a success.

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