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How investors might approach the modern breed of companies

Not all network-building platforms - Netflix, Uber, Airbnb - are created equal; investors should be aware that their business models vary wildly in terms of their viability.

WHEN Facebook was in its infancy and only used by a small group of Harvard college students, its value was relatively limited. As it took off, spreading across US campuses and out into the wider world, its usefulness grew exponentially. The more people that created accounts, the more...

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