Sharing Economy, Platforms and Crowds

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Paper Type

Short

Paper Number

1515

Description

Digital platform ecosystems such as Apple iOS, SAP, and Google Android are transforming the nature of innovation and competition. Many firms find themselves as complementors to a dominant platform, at risk of experiencing competition with the platform owner. For example, platform owners release complements or integrate features into the platform thereby directly harming complementors’ businesses. While extant work focused on understanding how such competition affects complementors’ outcomes, it is yet to investigate when complementors face competition with platform owners in the first place. This paper presents an ongoing research project in which we seek to develop and test four hypotheses regarding this intriguing occurrence. We build a unique dataset that encompasses market entries by Google on Android and Apple on iOS and estimate a survival model in which market niches are metaphorically “at risk” of facing competition with platform owners.

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Dec 14th, 12:00 AM

Wolf in a Sheep’s Clothing: When Do Complementors Face Competition With Platform Owners?

Digital platform ecosystems such as Apple iOS, SAP, and Google Android are transforming the nature of innovation and competition. Many firms find themselves as complementors to a dominant platform, at risk of experiencing competition with the platform owner. For example, platform owners release complements or integrate features into the platform thereby directly harming complementors’ businesses. While extant work focused on understanding how such competition affects complementors’ outcomes, it is yet to investigate when complementors face competition with platform owners in the first place. This paper presents an ongoing research project in which we seek to develop and test four hypotheses regarding this intriguing occurrence. We build a unique dataset that encompasses market entries by Google on Android and Apple on iOS and estimate a survival model in which market niches are metaphorically “at risk” of facing competition with platform owners.

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