Upstream, Downstream: Diffusion and Impact of the Universal Product Code
Emek Basker and Timothy Simcoe
This paper presents an in-depth quantitative analysis of the diffusion and impacts of the Universal Product Code (UPC). The authors find evidence of two-sided network effects in the diffusion process, and that employment and trademark registrations increase following UPC adoption by manufacturers or wholesalers. The findings suggest that barcodes, scanning, and related technologies helped stimulate variety-enhancing product innovation and encourage the growth of international retail supply chains.