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Contribution Details

Type Journal Article
Scope Discipline-based scholarship
Title Defensive competitive strategies in two-sided markets: The example of the mail industry
Organization Unit
Authors
  • Helmut Max Dietl
  • A Grütter
  • M Lutzenberger
Item Subtype Original Work
Refereed Yes
Status Published in final form
Language
  • English
Journal Title Competition and Regulation in Network Industries
Publisher Intersentia NV
Geographical Reach international
ISSN 1783-5917
Volume 10
Number 1
Page Range 3 - 15
Date 2009
Abstract Text This paper outlines and analyzes different competitive strategies for an established platform provider in a two-sided market to defend against various forms of attack. Taking into account the characteristics of two-sided markets, we consider strategies based on product innovation and network effects, process innovation and pricing, multiple platforms, and switching costs. Network effects introduce dynamics that can quickly displace an incumbent platform. However, a platform provider can also use network effects to its advantage, entrenching itself firmly in the market by using appropriate strategies. These strategies are developed theoretically and illustrated by example of the mail industry.
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Other Identification Number merlin-id:917
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