Platforms and network effects

Arbeitspapier

In many markets, user benefits depend on participation and usage decisions of other users giving rise to network effects. Intermediaries manage these network effects and thus act as platforms that bring users together. This paper reviews key findings from the literature on network effects and two-sided platforms. It lays out the basic models of monopoly platforms and platform competition, and elaborates on some routes taken by recent research.

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• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Working Paper Series ; No. 16-14

Classification and Topics

• Classification: Wirtschaft ; Market Structure, Pricing, and Design: Oligopoly and Other Forms of Market Imperfection ; Oligopoly and Other Imperfect Markets ; Information and Internet Services; Computer Software
• Subject: Network effects ; digital platforms ; two-sided markets ; tipping ; platform competition ; intermediation ; pricing ; imperfect competition

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Belleflamme, Paul ; Peitz, Martin
• Event: Veröffentlichung
• (who): University of Mannheim, Department of Economics
• (where): Mannheim
• (when): 2016

Further information

• Handle: http://hdl.handle.net/10419/149591
• URN: urn:nbn:de:bsz:180-madoc-413065