What are some physical products that exhibit network effects?

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Great question. 

Cell phones, even clamshell phones. Packs of cigarettes. Some Veblen goods, especially fashion items.

How does packs of cigarettes exhibit network effects?

It’s way more fun and relaxing to smoke in a place where lots of other people smoke. Conversations outside in the cold, borrowing lighters, bumming cigarettes, etc. Once you reach critical mass you’re the cool kids and everyone wants to participate. 

God I miss smoking.