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1 – 10 of 129The purpose of this study is to explore the coopetition relationships between platform owners and complementors in complementary product markets. Drawing on the coopetition…
Abstract
Purpose
The purpose of this study is to explore the coopetition relationships between platform owners and complementors in complementary product markets. Drawing on the coopetition theory, the authors examined the evolutionary trends of the coopetition relationships between platform owners and complementors and explore the main influence factors.
Design/methodology/approach
The authors used Lotka–Volterra model to analyze the coopetition relationship between platform owners and complementors, including the evolutionary trends as well as the results. Considering the feasibility of sample data collection, simulation is used to verify the effects of different factors on the evolution of coopetition relationships.
Findings
The results show that there are four possible results of the competition in the complementary products market. That comprises “winner-take-all for platform owners,” “winner-take-all for complementors,” “stable competitive coexistence” and “unstable competitive coexistence,” where “stable competitive coexistence” is the optimal evolutionary state. Moreover, the results of competitive evolution are determined by innovation subjects’ interaction parameters. However, the natural growth rate, the initial market benefits of the two innovators and the overall benefits of the complementary product markets influence the time to reach a steady state.
Originality/value
The study provides new insights into the entry of platform owners into complementary markets, and the findings highlight the fact that in complementary product markets, platform owners and complementors should seek “competitive coexistence” rather than “winner-takes-all.” Moreover, the authors also enrich the coopetition theory by revealing the core factors that influence the evolution of coopetition relationships, which further enhance the analysis of the evolutionary process of coopetition relationships.
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The primary aim of this article is to develop an understanding that resolves and integrates the conflicting findings with regard to the effects of platform-owner entry on the…
Abstract
Purpose
The primary aim of this article is to develop an understanding that resolves and integrates the conflicting findings with regard to the effects of platform-owner entry on the innovation of individual complementors.
Design/methodology/approach
Drawing on the platform ecosystem literature and the profiting from innovation (PFI) framework, this study presents a conceptual model that articulates how developers' marketing capabilities and the size of platform's installed base are two key moderators that explain the conflicting results between platform-owner entry and complementor innovations.
Findings
This article theorizes that platform owners' entry stimulates developers' innovations when the size of platform's installed base is large or when developers' marketing capabilities are strong while the entry can discourage innovations otherwise.
Originality/value
By proposing the conceptual model, this article makes important theoretical contributions to the rising literature on platform governance and complementor innovations. It lays a foundation for future research exploring the implications of platform-owner entry.
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Rather than organize as traditional firms, many of today’s companies organize as platforms that sit at the nexus of multiple exchange and production relationships. This chapter…
Abstract
Rather than organize as traditional firms, many of today’s companies organize as platforms that sit at the nexus of multiple exchange and production relationships. This chapter considers a most basic question of organization in platform contexts: the choice of boundaries. Herein, I investigate how classical economic theories of firm boundaries apply to platform-based organization and empirically study how executives made boundary choices in response to changing market and technical challenges in the early mobile computing industry (the predecessor to today’s smartphones). Rather than a strict or unavoidable tradeoff between “openness-versus-control,” most successful platform owners chose their boundaries in a way to simultaneously open-up to outside developers while maintaining coordination across the entire system.
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Wenhui Fu, Qiang Wang and Xiande Zhao
The purpose of this paper is to systematically review the platform literature and synthesize the various topics of research into a common framework to reveal the relations between…
Abstract
Purpose
The purpose of this paper is to systematically review the platform literature and synthesize the various topics of research into a common framework to reveal the relations between platform-based service innovation, system design and other platform-related factors.
Design/methodology/approach
A quantitative descriptive analysis led to an overview of the distribution of research focuses of the 187 sample articles identified by a well-established search strategy. A qualitative in-depth review was then used to clarify the detailed research topics and generate an overall conceptual model to link them, with a focus on platform-based service innovation and system design.
Findings
In total, 11 research topics of three research perspectives were identified and linked by a framework that accounts for the relationships between platform-based service innovation and system design and their influences on platform evolution. A small panel of industry experts validated the accuracy and utility of the proposed framework.
Originality/value
This paper provides an integrated framework for separately developed research perspectives and the topics investigated in the platform literature. Through the proposed framework, this paper helps to improve the knowledge on platform study and management, and lays a foundation for exploring the research opportunities in platform-based service innovation and system design.
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Khaled Abed Alghani, Marko Kohtamäki and Sascha Kraus
The proliferation of industry platforms has disrupted several industries. Firms adopting a platform business model have experienced a substantial expansion in size and scale…
Abstract
Purpose
The proliferation of industry platforms has disrupted several industries. Firms adopting a platform business model have experienced a substantial expansion in size and scale, positioning themselves as the foremost valuable entities in market capitalization. Over the past two decades, there has been a substantial expansion in the body of literature dedicated to platforms, and different streams of research have emerged. Despite considerable efforts and the significant progress made in recent years toward a comprehensive understanding of industry platforms, there is still room for further harnessing the field’s diversity. As a result, the aim of this article is to examine the field’s structure, identify research concerns and provide suggestions for future research, thereby enhancing the overall understanding of industry platforms.
Design/methodology/approach
We conducted a thorough examination of 458 articles on the topic using bibliometric methods and systematic review techniques.
Findings
Through co-citation analysis, we identified five distinct clusters rooted in various bodies of literature: two-sided markets, industry platforms, digital platforms, innovation platforms and two-sided networks. Furthermore, the examination of these five clusters has revealed three key areas that demand further consideration: (1) terminologies, (2) classifications and (3) perspectives.
Originality/value
While previous reviews have provided valuable insights into the topic of industry platforms, none have explored the structure of the field so far. Consequently, as a first step toward advancing the field, we uncover the structure of the literature, identifying three major areas of concern. By addressing these concerns, our goal is to converge different clusters, thereby harnessing the diversity in the field and enhancing the overall understanding of industry platforms.
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Robert van Kalsbeek, Manda Broekhuis and Kees Jan Roodbergen
The purpose of this paper is to understand which controlling and enabling practices are used, how the numerous supplying partners are managed and how positive network effects are…
Abstract
Purpose
The purpose of this paper is to understand which controlling and enabling practices are used, how the numerous supplying partners are managed and how positive network effects are generated in online service triads (multi-sided platform – supplying partners – consumers).
Design/methodology/approach
A single representative in-depth case study was conducted to refine theory on managing service triads. The main data source consists of field notes collected by one author, who held a temporary position within the organization. Additional data were collected from observations, internal documents, informal talks and 20 interviews.
Findings
The authors found controlling and enabling organizational practices in four main categories on two levels as follows: managing network composition (system level), managing order fulfillment and returns (operations level), category management (both levels) and capability enhancement (both levels).
Research limitations/implications
The authors show that both controlling and enabling practices are present in online service triads. This enables platform owners and supplying partners to share responsibilities for creating positive network effects, i.e. to increase scale, which increases value, which again attracts more suppliers and consumers, which creates more value, etc.
Practical implications
The authors present a range of and controlling and enabling practices that describe how multi-sided platforms can manage numerous supplying partners in an online context.
Originality/value
This study is the first to show that contractual and relational governance is insufficient in service triads in online settings with numerous supplying partners. Further, the authors provide empirical evidence that supply networks continuously adapt over time.
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Vincent Heimburg and Manuel Wiesche
Information Systems (IS) research has built up a considerable understanding of digital platform ecosystems, while policymakers worldwide are aiming to introduce platform…
Abstract
Purpose
Information Systems (IS) research has built up a considerable understanding of digital platform ecosystems, while policymakers worldwide are aiming to introduce platform regulations that seek to erode fundamental mechanisms of digital platforms. This viewpoint article provides an introduction to how platform regulation affects our current understanding of digital platform ecosystems and suggests opportunities for future research.
Design/methodology/approach
A detailed analysis of the effects of the European Union (EU) Digital Markets Act (DMA) on current findings of organizational, technical and economic IS platform research.
Findings
Government regulations of digital platforms such as the DMA likely affect the central mode of operation of platforms in the scope of the regulation. The authors preconceive a major impact on platform openness, governance, steering the platform supply-side, modularity, nestedness, network effects, pricing and single-/multi-homing. In addition, the authors present opportunities for future research in each of these IS platform research streams.
Originality/value
Landmark regulations implemented in the past, such as the General Data Protection Regulation (GDPR), caused paradigm changes that fertilized research opportunities in IS and beyond. This viewpoint article aims to nudge studies that examine the changed mode of operation of platforms following platform regulation.
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Alexey Bereznoy, Dirk Meissner and Veronica Scuotto
Generally, there is a common sense to consider knowledge sharing and creation as two separate processes but a new matter emerges when those processes are intertwining. In this…
Abstract
Purpose
Generally, there is a common sense to consider knowledge sharing and creation as two separate processes but a new matter emerges when those processes are intertwining. In this vein, this research aims to discuss on the lens of the open innovation (OI) model how such intertwining generates digital platform-based ecosystem.
Design/methodology/approach
The theoretical approach is used to largely discuss the intertwining of knowledge sharing and creation in the current digital era. It debates such scenario considering past and present studies and suggests future research streamlines.
Findings
It offers a new theoretical model that can be implemented in a micro, meso and macro level where the concept of “ba” (or ba-sho) assumes the form of a digital platform where knowledge sharing is in motion and dynamically interacts with the knowledge creation.
Originality/value
By discussing the intertwining of knowledge creation and sharing in OI context along with digital trends (e.g. platform innovation ecosystems and platform innovation management), the study offers a new conceptual framework that relies on such intertwining accompanied by the concept of “ba – sho.” In this vein, research limits and new research are suggested to demonstrate and support this conceptual study.
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Xing Wan, Nianxin Wang and Ben Shaw-Ching Liu
This study takes the cinema industry as the research context and investigates the impact of online to offline (O2O) platforms on cinemas' performance. Specifically, the purposes…
Abstract
Purpose
This study takes the cinema industry as the research context and investigates the impact of online to offline (O2O) platforms on cinemas' performance. Specifically, the purposes of this paper are threefold: first, to study the influence of platform multihoming on cinemas' performance; second, to examine the interaction impact of platform multihoming and vertical integration; third, to investigate how the influence of platform multihoming varies with cinemas' performance.
Design/methodology/approach
This study collects data from 1918 cinemas in China, employs quantile regressions to estimate the model and test the proposed hypotheses and adopts an instrumental variable method to examine the robustness of our results.
Findings
The findings confirm the positive role of platform multihoming for cinemas' performance. However, when a cinema has low-degree platform multihoming, the cinema's vertical integration is positively associated with its performance; when a cinema has high-degree platform multihoming, the cinema's vertical integration is negatively associated with its performance. Furthermore, results from quantile regressions indicate that low-performance cinemas benefit more than high-performance cinemas from employing platform multihoming strategy.
Research limitations/implications
This paper extends previous research by investigating the impact of platform multihoming on heterogeneous firms and the impact of interaction between platform multihoming and vertical integration. The findings imply that the impact of platform multihoming on firms' performance depends on firms' performance attributes and their vertical relationships.
Practical implications
Platform multihoming can be a double-edged sword for local service firms. When multihoming platforms, a local service firm should think about the fit between platforms and its own attributes, and identify the potential conflict between platform relationships and traditional relationships of industrial organization.
Originality/value
There is a growing interest in understanding platforms' role in the digital economy. The impact of platform participation on local service firms' performance is not sufficiently investigated. Previous research rarely addressed the impact by incorporating local service firms' performance attributes and the existing relationships of industrial organization.
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Ling Zhang, Nan Feng, Haiyang Feng and Minqiang Li
For an entrant platform in the on-demand service market, choosing an appropriate employment model is critical. This study explores how the entrant optimally chooses the employment…
Abstract
Purpose
For an entrant platform in the on-demand service market, choosing an appropriate employment model is critical. This study explores how the entrant optimally chooses the employment model to achieve better performance and investigates the optimal pricing strategies and wage schemes for both incumbent and entrant platforms.
Design/methodology/approach
Based on the Hotelling model, the authors develop a game-theoretic framework to study the incumbent's and entrant's optimal service prices and wage schemes. Moreover, the authors determine the entrant's optimal employment model by comparing the entrant's optimal profits under different market configurations and analytically analyze the impacts of some critical factors on the platforms' decision-making.
Findings
This study reveals that the impacts of the unit misfit cost of suppliers or consumers on the pricing strategies and wage schemes vary with different operational efficiencies of platforms. Only when both the service efficiency of contractors and the basic employee benefits are low, entrants should adopt the employee model. Moreover, a lower unit misfit cost of suppliers or consumers makes entrants more likely to choose the contractor model. However, the service efficiency of contractors has nonmonotonic effects on the entrant's decision.
Originality/value
This study focuses on an entrant's decision on the optimal employment model in an on-demand service market, considering the competition between entrants and incumbents on both the supplier and consumer sides, which has not been investigated in the prior literature.
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