Session 405

Multi-Sided Platform Strategies

Track C

Date: Monday, September 22, 2014

Track X

Time: 11:00 – 12:15

Paper

Room: Estancia 311


Session Chair:

  • Anil Doshi, University College London

Title: Agent Heterogeneity in Two-Sided Platforms: Superstar Impact on Crowdfunding

Authors

  • Anil Doshi, University College London

Abstract: By studying how agents on one side of a platform, or two-sided market, affect agents on the other side, I provide evidence of the importance of understanding heterogeneity in types of agents joining the platform. Specifically, I investigate how the arrival of superstar agents affects the other side of the platform. In the context of crowdfunding, I demonstrate that the arrival of superstars increases the overall transaction levels on the platform (in what I call a halo effect), but the increase is disproportionaly experienced by agents that are similar to the superstar experience (the crowding out effect). For managers, I demonstrate that in addition to pricing and platform rules, attracting certain kinds of agents can help drive the transaction volume and size of a platform.

Title: Forms and Levers of Platform Intermediation

Authors

  • Srinivasan Raghavan, Indian Institute of Management-Bangalore

Abstract: Multi-sided platforms (MSP) are organizations that operate in multi-sided markets, and create value by connecting different groups of users. Multi-sided platforms add significant value to one or more sides of participants on the platform through, among other things, indirect or cross-side network effects. Intermediation between multiple groups of participants is a key value addition provided by MSPs. Extending the study by Sawhney, Prandelli, & Verona (2003), this paper classifies MSPs into three forms of intermediation – network platforms, community platforms, and marketplace platforms. The proposal discusses the key levers of platform intermediation across these forms and proposes to empirically study the differences across these forms on the levers, viz., credibility, pricing, complements, and platform architecture.

Title: How Durable is “Winner-Take-All”?: Competitive Dynamics and Installed Base in Network Markets

Authors

  • David McIntyre, Providence College
  • Asda Chintakananda, National Institute of Development Administration

Abstract: This research examines how incumbent firms in network industries that have attained a winner-take-all status can lose their market base to rivals. We model the strength of a network firm’s installed base and its propensity to lose market share by integrating theories from the network effects and competitive dynamics. We develop hypothesis to show that network firms’ ability to maintain their status depends on the interaction of the strength of network intensity and the level of network rivalry. Under low network intensities, a firm’s winner-take-all position is more durable when network rivalry is low. On the contrary, under high network intensities, a firm’s winner-take-all position is less durable when network rivalry is low. We conclude by discussing several implications for future research and practice.

Title: Value Creation Architectures in Platform Markets: Competitive Advantages and Disadvantages in the E-Mobility Industry

Authors

  • Oke Christian Beckmann, University of Flensburg
  • Susanne Royer, University of Flensburg
  • Helmut Dietl, University of Zürich
  • Uwe Stratmann, University of Applied Sciences Kempten

Abstract: The focus of this research is a better understanding of two-sided markets and their implications for strategy development. When developing strategy it is not sufficient to solely rely on a systematic approach towards an understanding of platform market characteristics. Sustainable competitive advantages in such markets are still only superficially understood since the focus so far lies on market characteristics and not on strategically relevant firm and relational resources. Here, it is suggested that an understanding of firms embedded into networks of other actors is crucial to the investigation of strategic competitive advantage. Therefore, different types of value creation architectures of e-mobility providers are systematically illustrated to come to first insights about architectural configurations in two-sided markets.

All Sessions in Track C...

Sun: 15:45 – 17:00
Session 406: Theoretical Studies of Platform Strategies
Mon: 11:00 – 12:15
Session 405: Multi-Sided Platform Strategies
Tue: 11:00 – 12:15
Session 407: Platform and Ecosystem Emergence
Tue: 15:30 – 16:45
Session 452: Competitive Dynamics and Strategy in Platform-Based Markets

All Sessions in Track X...

Sun: 13:45 – 14:30
Session 295: Keynote: Lifetime Achievement Award
Sun: 14:30 – 15:15
Session 471: Keynote: CK Prahalad Award
Sun: 15:45 – 17:00
Session 203: Acquisition Implementation
Session 215: Yikes: What Now (Reloaded)?: Firm Responses to Stakeholder Activism
Session 398: Corporate Strategy and Corporate Finance: Continuing the Research Conversation
Mon: 08:00 – 09:15
Session 260: IPRs, Appropriability and Innovation
Session 338: Making Strategy, Strategic Change and the Role of Sensemaking and Sensegiving
Mon: 09:30 – 10:30
Session 296: How Social Networks Create Competitive Advantage: The Microfoundations Reputation
Mon: 11:00 – 12:15
Session 213: What is In It For Us? How Sustainability Matters for Firm Strategy
Session 352: CEO Decision Making
Session 405: Multi-Sided Platform Strategies
Mon: 13:30 – 14:30
Session 4: Business Models in their Competitive Context
Session 5: Building Strategic States
Session 298: Using Networks to Shape Strategy
Session 299: Dealing with the Euro Area Economic Crisis: Strategic Adjustment in the Period of Turmoil
Session 300: Methodological and Conceptual Frontiers in the New World of Networks
Mon: 14:45 – 16:00
Session 368: Firm Scope and Industry Competition
Session 375: Changing External Environments: How do Multinationals Respond?
Mon: 16:30 – 17:45
Session 245: Human Capital Complementarities
Session 344: Paradoxical Tensions and Innovative Strategies
Tue: 08:00 – 09:15
Session 409: Increasing the Relevance of Strategy Research
Session 446: Empirical Studies and Case Studies of Business Models
Tue: 09:30 – 10:30
Session 297: Granularity of Profit
Tue: 11:00 – 12:15
Session 469: M&As and Innovation
Tue: 14:15 – 15:15
Session 301: Strategy Frameworks: In Quest of Relevance in a Turbulent World
Session 302: Directing Strategy: The Process Challenges of Formulating and Implementing Strategy in a World of Networks
Session 470: Governance Challenges in Globalized Networks
Session 473: Rethinking the Architecture of Global Corporations
Tue: 15:30 – 16:45
Session 208: Interactions, Recombination and Adaptation Processes
Session 346: Management and Strategy Practices Reconsidered
Tue: 17:15 – 18:30
Session 441: Funding Entrepreneurial Ventures: Sources and Successes


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