The network effects that our is going to utilize are the following [1]:

1. Direct network effect: The more users start using our system the better recommendation will provide back to them.
2. Indirect network effect: The more users start using Facebook the more people are likely to user our system.
3. Cross network effect:
   • The more users use our service the more actors and movie companies will use it to gain access to movie groups
   • The more users use our service the more advertisers will found our service for advertisements.
4. Social Network Effect: Users are influences by their friends which movie are going to see.

References

1. A. Shuen, “Web 2.0: A Strategy Guide: Business thinking and strategies behind successful Web 2.0 implementations”, O’Reilly, 2008, pp. 41-42.