Innovation and Price Competition in a Two-Sided Market

• Main Authors: LIN, Mei, LI, Shaojin, Whinston, Andrew B.
• 格式: text
• 語言: English
• 出版: Institutional Knowledge at Singapore Management University 2011
• 主題: innovation; price competition; two-sided markets; Computer Sciences; Technology and Innovation
• 在線閱讀: https://ink.library.smu.edu.sg/sis_research/1717; https://ink.library.smu.edu.sg/context/sis_research/article/2716/viewcontent/platformInnov_0427_2011_JMISRevisionFormatEdited.pdf

We examine a platform's optimal two-sided pricing strategy while considering seller-side innovation decisions and price competition. We model the innovation race among sellers in both finite and infinite horizons. In the finite case, we analytically show that the platform's optimal seller-...