Demand-Side Economies of Scope in Big Tech Business Modelling and Strategy

Autor: Anders Henten, Iwona Windekilde
Jazyk: angličtina
Rok vydání: 2022
Předmět:
Zdroj: Systems, Vol 10, Iss 6, p 246 (2022)
Druh dokumentu: article
ISSN: 2079-8954
DOI: 10.3390/systems10060246
Popis: The purpose of the paper is to discuss the issue of economies of scope in platform research and to attract attention to the importance of scope economies for the strength and growth of Big Tech corporations. Hitherto, most attention has been on network effects and demand-side economies of scale, on the role of platforms in lowering transaction costs, and on the importance of big data. More specifically, the research question addressed in this paper is how economies of scope, driven by the demand side, contribute to the strength of successful Big Tech corporations. The answer is related to two aspects: one is concerned with bundling of services and products, and the other with the acquisition and processing of data on users and their activities using digital services and applications.
Databáze: Directory of Open Access Journals