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Suppose we have a scenario where an app part in the host web displays some data which is stored in a list. The data to this list is added by a specific group of users. OOB list view is used to add and edit the list items and there is no custom UI to add data to the list.

Now in this case, ideally, the List should be kept on the host web so that the users that have contribute permissions can easily navigate to "site contents", locate the list and add the data. However, if the list is kept in the app web, the users might not be able to locate the list. Also, the component can be bundled as a reusable functionality if the list is placed with the app.

So my question is, what are the factors deciding the location of LIST which the app uses.

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Regarding the scenario you posted above, you can easily provide a link to a list (present in your app web) in app part, so that user can easily navigate to the list.

Now there are many factors which decide the location of list. For example: deploying list in host web, will defeat the whole purpose of app. If you remove your app, the list will be still present and you will need to provide high permissions to app. But in app web you will not get rich client integration features like outlook and document synchronization. Therefore, it completely depends on your requirement. There are some very good links on this topic:

  1. Working with app web
  2. Host Web vs App Web
  3. Host Web versus App Web Case Study
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