NEGATIVE INTRA‐GROUP EXTERNALITIES IN TWO‐SIDED MARKETS*
Open accessAbstract
Two types of agents interact on a pre‐existing free platform. Agents value positively the presence of agents of the other type but may value negatively the presence of agents of their own type. We ask whether a new platform can find fees and subsidies so as to divert agents from the existing platform and make a profit. We show that this might be impossible if intra‐group negative externalities are sufficiently (but not too) strong with respect to positive inter‐group externalities.
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Digital platforms usually incorporate new technologies, leading to a competitive advantage.
“Digital platforms usually incorporate new technologies, leading to a competitive advantage (Belleflamme & Peitz, 2019;Belleflamme & Toulemonde, 2009;Cennamo & Santaló, 2013).”
From Digital platform ecosystems in flux: From proprietary digital platforms to wide-spanning ecosystems (2023) · cites this paper as Belleflamme & Toulemonde, 2009
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Architectural Leverage: Putting Platforms in Context
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Self-citationDigital platform ecosystems in flux: From proprietary digital platforms to wide-spanning ecosystems
Nerbel, J. F., & Kreutzer, M. (2023) · Electronic Markets · doi:10.1007/s12525-023-00625-8 · Cited by 37 · see citing works
- Authors
- Belleflamme, P., & Toulemonde, E.
- Affiliations
- Ifo Institute for Economic Research (DE)
- Corresponding author
- Belleflamme, Paul
- ORCID
- Belleflamme, Paul
- Venue
- International Economic Review
- Publisher
- Wiley
- Published
- 2009-01-28
- Volume
- 50
- Issue
- 1
- Pages
- 245-272
- ISSN
- 0020-6598 (ISSN-L)
- 1468-2354
- OpenAlex
- W2145966759
- Cited by
- 119
- References
- 30
- Citations by year
- 2026: 5 · 2025: 8 · 2024: 10 · 2023: 5 · 2022: 5 · 2021: 4 · 2020: 2 · 2019: 6 · 2018: 4 · 2017: 2 · 2016: 6 · 2015: 4 · 2014: 11 · 2013: 6 · 2012: 11
- FWCI
- 32.63
- Type
- journal article
- Language
- en
- Open access
- green
- doi.org
- Locations
- International Economic Review (publishedVersion)
- SSRN Electronic Journal (acceptedVersion)
- RePEc: Research Papers in Economics (submittedVersion)
- Digital Access to Libraries (submittedVersion)
- Digital Access to Libraries (submittedVersion, other-oa)
- Econstor (Econstor) (submittedVersion)
- Repository of the University of Namur (submittedVersion)
- Topics
- Social Sciences › Business, Management and Accounting › Strategy and Management › Digital Platforms and Economics
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Game Theory and Voting Systems
- Social Sciences › Decision Sciences › Management Science and Operations Research › Game Theory and Applications
- Keywords
- two-sided markets, platform competition
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