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Book part
Publication date: 16 September 2017

Kevin J. Boudreau

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.

Details

Entrepreneurship, Innovation, and Platforms
Type: Book
ISBN: 978-1-78743-080-8

Keywords

Article
Publication date: 29 September 2021

Yan Zuo and Di Song

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.

Details

Industrial Management & Data Systems, vol. 122 no. 1
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 24 May 2023

Cheuk Hang Au, Barney Tan and Chunmian Ge

The success of sharing economy (SE) platforms has made it attractive for many firms to adopt this business model. However, the inherent weaknesses of these platforms, such as…

Abstract

Purpose

The success of sharing economy (SE) platforms has made it attractive for many firms to adopt this business model. However, the inherent weaknesses of these platforms, such as their unstandardized service quality, the burden of maintenance on resource owners and the threat of multi-homing, have become increasingly apparent. Previous prescriptions for addressing these weaknesses, however, are limited because they do not account for factors such as compliance costs and information asymmetry, and tend to solve the problem on only one side of the platform at the expense of the others. By exploring the strategies deployed and actions undertaken across the development of Xbed, a successful accommodation-sharing platform in China, this study aims to explore an alternative solution that would overcome the aforementioned weaknesses without the corresponding compromises.

Design/methodology/approach

The authors conducted a case study consisting of secondary data and interviews with 15 informants who were representatives of Xbed's top management, organizational IT functions and its various business units.

Findings

The authors identified three inherent weaknesses that may be found in SE business models and how these weaknesses can be overcome without compromising other stakeholders through an auxiliary platform. The authors also discuss the advantages, characteristics, deployment and nature of auxiliary platforms.

Originality/value

This model contributes an in-depth view of establishing and nurturing auxiliary platforms to complement a primary SE platform. Owners and managers of SE platforms may use our model as the basis of guidelines for optimizing their platforms' development, thereby extending the benefits of SE to more stakeholders.

Details

Internet Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1066-2243

Keywords

Article
Publication date: 1 November 2022

Slawomir Wycislak

Visibility is the need of the hour for each organization involved in the supply chain, and scholars have made few previous efforts to understand patterns driving visibility in…

Abstract

Purpose

Visibility is the need of the hour for each organization involved in the supply chain, and scholars have made few previous efforts to understand patterns driving visibility in transportation platforms. However, many companies have not been able to achieve sufficient levels of practical implementation across the supply chain. Therefore, this study focuses on exploring, why the real-time visibility transportation platforms fail to operationalize.

Design/methodology/approach

This study utilizes action research as a methodology for pragmatism to understand supply chain professionals' viewpoint regarding the operationalization of real-time visibility. The research addresses a complex transportation network of a fast-moving consumer goods company. Wherein, both a greater need for visibility and improvements are also more challenging.

Findings

Tensions amongst complementors, the platform owner, and the Control Tower of a focal company explain the different impacts of freight forwarders and own fleet carriers on shipment compliance. Integrating subcontractors is a cost-intensive practice for complementors that increases asymmetry and reduces co-created value. The willingness of freight forwarders to exert control contributes to tension competition versus collaboration.

Research limitations/implications

The model identifies the dynamics that explain how managers can navigate the tension over time by controlling contradictory loops driving shipment compliance. Findings can help managers develop plans, conduct pilots, and collaborate to unlock value from real-time visibility. The research findings can be informative for the European Union bodies and help work out a policy that reduces the asymmetry of benefits and contribute to the more sustainable development of digital industrial platforms.

Originality/value

The contribution lies in (1) providing a study of the factors affecting achieving real-time visibility, (2) distinguishing complementors (3) identifying tensions amongst complementors and platform owner as critical for successful platform deployment, (4) conceptualizing a pattern of behavior emerging amongst the platform partners and (5) outlining avenues for future research.

Details

The International Journal of Logistics Management, vol. 34 no. 5
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 18 April 2017

Wenhui Fu, Qiang Wang and Xiande Zhao

The purpose of this paper is to explore the properties of platform service innovation and its relationship to value co-creation activities and the network effect. This is done…

4519

Abstract

Purpose

The purpose of this paper is to explore the properties of platform service innovation and its relationship to value co-creation activities and the network effect. This is done over the course of a platform’s evolution through three stages: emergence, expansion and maturity.

Design/methodology/approach

Based on grounded theory, this study adopts a multiple case study research design. An in-depth analysis of the case data is done using ATLAS.TI software.

Findings

At the emergence stage, platform service innovations focus on building infrastructure. Platform owners stimulate the network effect directly via platform service innovations, rather than indirectly via value co-creation activities. At the expansion stage, the platform service innovations focus on building relationships among platform owner and different sides of participants. Platform owners stimulate the network effect indirectly, via value co-creation activities, rather than directly via platform service innovations. At the maturity stage, platform service innovations focus on building an environment for the platform ecosystem. Platform owners stimulate the network effect indirectly, via value co-creation activities rather than directly.

Originality/value

This research contributes to the service innovation literature by exploring the properties of platform service innovation and its relationship to value co-creation activities and the network effect from a longitudinal perspective. The principal managerial implication is that platform managers need to consider the developmental stage of the platform, as a mismatching of stage of development (emergence/expansion/maturity) and focus (an orientation toward building infrastructure, relationships or environment) may lead to a failure to stimulate or enhance the network effect.

Details

Journal of Service Management, vol. 28 no. 2
Type: Research Article
ISSN: 1757-5818

Keywords

Open Access
Article
Publication date: 12 December 2023

Jayesh Prakash Gupta, Hongxiu Li, Hannu Kärkkäinen and Raghava Rao Mukkamala

In this study, the authors sought to investigate how the implicit social ties of both project owners and potential backers are associated with crowdfunding project success.

Abstract

Purpose

In this study, the authors sought to investigate how the implicit social ties of both project owners and potential backers are associated with crowdfunding project success.

Design/methodology/approach

Drawing on social ties theory and factors that affect crowdfunding success, in this research, the authors developed a model to study how project owners' and potential backers' implicit social ties are associated with crowdfunding projects' degrees of success. The proposed model was empirically tested with crowdfunding data collected from Kickstarter and social media data collected from Twitter. The authors performed the test using an ordinary least squares (OLS) regression model with fixed effects.

Findings

The authors found that project owners' implicit social ties (specifically, their social media activities, degree centrality and betweenness centrality) are significantly and positively associated with crowdfunding projects' degrees of success. Meanwhile, potential project backers' implicit social ties (their social media activities and degree centrality) are negatively associated with crowdfunding projects' degrees of success. The authors also found that project size moderates the effects of project owners' social media activities on projects' degrees of success.

Originality/value

This work contributes to the literature on crowdfunding by investigating how the implicit social ties of both potential backers and project owners on social media are associated with crowdfunding project success. This study extends the previous research on social ties' roles in explaining crowdfunding project success by including implicit social ties, while the literature explored only explicit social ties.

Details

Internet Research, vol. 34 no. 7
Type: Research Article
ISSN: 1066-2243

Keywords

Open Access
Article
Publication date: 11 April 2023

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

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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.

Details

Internet Research, vol. 33 no. 7
Type: Research Article
ISSN: 1066-2243

Keywords

Article
Publication date: 25 July 2018

Wenhui Fu, Qiang Wang and Xiande Zhao

The purpose of this paper is to explore research opportunities for service innovation and system design in network platforms by investigating representative case examples in an…

Abstract

Purpose

The purpose of this paper is to explore research opportunities for service innovation and system design in network platforms by investigating representative case examples in an emerging market, China.

Design/methodology/approach

The authors provide four case examples to illustrate the manner in which network platforms facilitate and lead to service innovation and effective system design. Then, the authors propose nine research directions that present significant research opportunities, and the authors make theoretical and methodological suggestions.

Findings

The results indicate that research opportunities exist mainly in three areas: ecosystem design and evolution, including role design, coherence and sustainability issues; leader–participant collaboration, including governance, co-opetition and innovation stimulation issues; and transformation of traditional industries, including process informatization, modularization and standardization issues.

Originality/value

This study extends the platform-related literature by showing new platform features represented by case evidence from emerging economies, and provides recommendations to guide and direct management practices and efforts in platform-based service innovation and system design.

Details

Industrial Management & Data Systems, vol. 118 no. 5
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 17 February 2021

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…

2907

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.

Details

Journal of Knowledge Management, vol. 25 no. 8
Type: Research Article
ISSN: 1367-3270

Keywords

Open Access
Article
Publication date: 3 November 2022

Wenlong Han

To realise the shared development of the digital economy, people need to transcend the capital logic and advocate the logic of cooperative development, i.e. “co-construction…

Abstract

Purpose

To realise the shared development of the digital economy, people need to transcend the capital logic and advocate the logic of cooperative development, i.e. “co-construction, benefit-sharing and co-governance”. This study aims to discuss the aforementioned statement.

Design/methodology/approach

Platform economy is a new economic form produced by the transformation of the social production patterns in the era of digital capitalism. In the neo-imperialist stage, a new stage of capitalist development, capital logic promotes the global expansion of the platform economy and influences its development process, organisational form, contradictions and dilemmas and internal transcendence. Having the spatiotemporal chain of capital circulation repaired, the globalisation of the platform economy is reshaping how the means of production are combined with labour, affecting the local changes in the general relations of production and “international relations of production”.

Findings

In the accumulation of digital capitalism, the social contradictions and fundamental contradictions in the capitalist world have been further intensified, making exploitation, income distribution gap, monopoly and other problems increasingly severe. The imbalance and inequality in the global development of the digital economy are increasingly prominent.

Originality/value

Regarding the global governance of the digital economy, China, as a major responsible country, will strive to encourage all countries to co-build a community with a shared future in cyberspace. In the new international development pattern of digital economy globalisation, China must take effective measures to actively safeguard its national security and development interests to meet specific challenges.

Details

China Political Economy, vol. 5 no. 1
Type: Research Article
ISSN: 2516-1652

Keywords

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