Premium
Managing competition on a two‐sided platform
Author(s) -
Belleflamme Paul,
Peitz Martin
Publication year - 2019
Publication title -
journal of economics and management strategy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.672
H-Index - 68
eISSN - 1530-9134
pISSN - 1058-6407
DOI - 10.1111/jems.12311
Subject(s) - competition (biology) , variety (cybernetics) , business , product (mathematics) , carry (investment) , advertising , industrial organization , marketing , computer science , finance , ecology , geometry , mathematics , artificial intelligence , biology
On many two‐sided platforms, users on one side not only care about user participation and usage levels on the other side, but they also care about participation and usage of fellow users on the same side. Most prominent is the degree of seller competition on a platform catering to buyers and sellers. In this paper, we address how seller competition affects platform pricing, product variety, and the number of platforms that carry trade.