Platforms and industrial change

Martin Kenney; Petri Rouvinen; Timo Seppälä; John Zysman

doi:10.1080/13662716.2019.1602514

Platforms and industrial change

Martin Kenney
, Petri Rouvinen^*
, Timo Seppälä
, John Zysman

^*Corresponding author for this work

Not published at VTT

University of California System
Research Institute of the Finnish Economy (ETLA)
Avance Asianajotoimisto Oy
Aalto University

Research output: Contribution to journal › Article › Scientific › peer-review

91 Citations (Scopus)

Abstract

Digital platforms are reorganising markets, restructuring the labour force, and redefining the scope of competition. These new intermediaries are transforming economic value creation, industrial structures, and innovative activity, all of which are about to undergo their biggest changes in the post-war era. Platforms have power over their ecosystem members, as algorithms mould users’ incentives to elicit particular responses. This raises the question of whether non-platform firms will be overpowered by the likes of Amazon and Google that have considerable advantages, such as massive data centres and the ability to cross-feed online traffic. The answer is conditional, but its existence puts pressure on the state to adopt an aggressive regulatory role. At this time, we do not have a framework for properly regulating platform businesses. This special issue examines how ecosystems created by platforms reorganise markets and how value creation and capture by incumbents and entrants is affected.

Original language	English
Pages (from-to)	871-879
Number of pages	9
Journal	Industry and Innovation
Volume	26
Issue number	8
DOIs	https://doi.org/10.1080/13662716.2019.1602514
Publication status	Published - 14 Sept 2019
MoE publication type	A1 Journal article-refereed

Funding

CONTACT Petri Rouvinen [email protected] Avance Attorneys Ltd., Helsinki, Finland The guest editors have contributed to this special issue as a part of BRIE-ETLA, the ongoing research collaboration of BRIE, the Berkeley Roundtable on the International Economy at the University of California at Berkeley, and ETLA, The Research Institute of the Finnish Economy. They kindly acknowledge the support of Business Finland and Technology Industries of Finland.

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

SDG 9 Industry, Innovation, and Infrastructure

Keywords

Digital platforms
ecosystems
industrial change
market power
technology adoption

Access to Document

10.1080/13662716.2019.1602514

Cite this

@article{c2a416e0132c4162b1ebe7956251ac1b,

title = "Platforms and industrial change",

abstract = "Digital platforms are reorganising markets, restructuring the labour force, and redefining the scope of competition. These new intermediaries are transforming economic value creation, industrial structures, and innovative activity, all of which are about to undergo their biggest changes in the post-war era. Platforms have power over their ecosystem members, as algorithms mould users{\textquoteright} incentives to elicit particular responses. This raises the question of whether non-platform firms will be overpowered by the likes of Amazon and Google that have considerable advantages, such as massive data centres and the ability to cross-feed online traffic. The answer is conditional, but its existence puts pressure on the state to adopt an aggressive regulatory role. At this time, we do not have a framework for properly regulating platform businesses. This special issue examines how ecosystems created by platforms reorganise markets and how value creation and capture by incumbents and entrants is affected.",

keywords = "Digital platforms, ecosystems, industrial change, market power, technology adoption",

author = "Martin Kenney and Petri Rouvinen and Timo Sepp{\"a}l{\"a} and John Zysman",

note = "Funding Information: CONTACT Petri Rouvinen [email protected] Avance Attorneys Ltd., Helsinki, Finland The guest editors have contributed to this special issue as a part of BRIE-ETLA, the ongoing research collaboration of BRIE, the Berkeley Roundtable on the International Economy at the University of California at Berkeley, and ETLA, The Research Institute of the Finnish Economy. They kindly acknowledge the support of Business Finland and Technology Industries of Finland. Publisher Copyright: {\textcopyright} 2019, {\textcopyright} 2019 The Author(s). Published by Informa UK Limited, trading as Taylor \& Francis Group.",

year = "2019",

month = sep,

day = "14",

doi = "10.1080/13662716.2019.1602514",

language = "English",

volume = "26",

pages = "871--879",

journal = "Industry and Innovation",

issn = "1366-2716",

number = "8",

}

TY - JOUR

T1 - Platforms and industrial change

AU - Kenney, Martin

AU - Rouvinen, Petri

AU - Seppälä, Timo

AU - Zysman, John

N1 - Funding Information: CONTACT Petri Rouvinen [email protected] Avance Attorneys Ltd., Helsinki, Finland The guest editors have contributed to this special issue as a part of BRIE-ETLA, the ongoing research collaboration of BRIE, the Berkeley Roundtable on the International Economy at the University of California at Berkeley, and ETLA, The Research Institute of the Finnish Economy. They kindly acknowledge the support of Business Finland and Technology Industries of Finland. Publisher Copyright: © 2019, © 2019 The Author(s). Published by Informa UK Limited, trading as Taylor & Francis Group.

PY - 2019/9/14

Y1 - 2019/9/14

N2 - Digital platforms are reorganising markets, restructuring the labour force, and redefining the scope of competition. These new intermediaries are transforming economic value creation, industrial structures, and innovative activity, all of which are about to undergo their biggest changes in the post-war era. Platforms have power over their ecosystem members, as algorithms mould users’ incentives to elicit particular responses. This raises the question of whether non-platform firms will be overpowered by the likes of Amazon and Google that have considerable advantages, such as massive data centres and the ability to cross-feed online traffic. The answer is conditional, but its existence puts pressure on the state to adopt an aggressive regulatory role. At this time, we do not have a framework for properly regulating platform businesses. This special issue examines how ecosystems created by platforms reorganise markets and how value creation and capture by incumbents and entrants is affected.

AB - Digital platforms are reorganising markets, restructuring the labour force, and redefining the scope of competition. These new intermediaries are transforming economic value creation, industrial structures, and innovative activity, all of which are about to undergo their biggest changes in the post-war era. Platforms have power over their ecosystem members, as algorithms mould users’ incentives to elicit particular responses. This raises the question of whether non-platform firms will be overpowered by the likes of Amazon and Google that have considerable advantages, such as massive data centres and the ability to cross-feed online traffic. The answer is conditional, but its existence puts pressure on the state to adopt an aggressive regulatory role. At this time, we do not have a framework for properly regulating platform businesses. This special issue examines how ecosystems created by platforms reorganise markets and how value creation and capture by incumbents and entrants is affected.

KW - Digital platforms

KW - ecosystems

KW - industrial change

KW - market power

KW - technology adoption

UR - https://www.scopus.com/pages/publications/85063630641

U2 - 10.1080/13662716.2019.1602514

DO - 10.1080/13662716.2019.1602514

M3 - Article

AN - SCOPUS:85063630641

SN - 1366-2716

VL - 26

SP - 871

EP - 879

JO - Industry and Innovation

JF - Industry and Innovation

IS - 8

ER -

Platforms and industrial change

Abstract

Funding

UN SDGs

Keywords

Access to Document

Other files and links

Fingerprint

Cite this