研討日期

20211018日上午10:30~ 12:30

研討地點

國立臺灣大學606 討論室

主講題目

Title of the paper

Frenemies in Platform Markets: Heterogeneous Profit Foci as Drivers of Compatibility Decisions

作者

Authors of the paper

Ron Adner, Jianqing Chen, Feng Zhu

文獻出處

Journal, vol.(issue), pp

MANAGEMENT SCIENCE

Vol. 66, No. 6, June 2020, pp. 2432–2451

主講人

Suttiwan Suwannajoi

參加人員

Suttiwan Suwannajoi、王光正、林燕淑、施全、張瑞雲、彭正浩、黃鴻、陳彥勲、Ayu Sasni Munte、蘇家叡、鍾暳陵、郭文忠、丁虹仁

摘要

Abstract of the paper

We study compatibility decisions of two competing platform owners that generate profits through both hardware sales and royalties from content sales. We consider a game-theoretic model in which two platforms offer different standalone utilities to users. We find that incentives to establish one-way compatibility—the platform owner with smaller standalone value grants access to its proprietary content application to users of the competing platform—can arise from the difference in their profit foci. As the difference in the standalone utilities increases, royalties from content sales become less important to the platform owner with greater standalone value, but more important to the other platform owner. One-way compatibility can thus increase asymmetry between the platform owners’ profit foci and, given a sufficiently large difference in the standalone utilities, yields greater profits for both platform owners. We further show that social welfare is greater under one-way compatibility than under incompatibility. We also investigate how factors such as exclusive content and hardware-only adopters affect compatibility incentives.