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Títulos

THE ROLE OF “BIG DATA” IN ONLINE PLATFORM COMPETITION

Autores

Andres V. Lerner

Ubicación

Digital - 13 - L476

Edición

[No definido]

Ciudad

[No definido]

Fecha Publicación

2014

Editorial

[No definido]

Temas

[No definido]

CONTENIDO

The Collection of User Data by Online Providers is a Common and Important Part of the Competitive Process A.The collection of customer data is widespread 1.The collection of user data by online providers 2.The collection of customer data by offline firms B.Procompetitive rationales for the collection of user data by online providers 1.User data allows online providers to improve the quality of services 2.User data allows online providers to monetize effectively and thereby offer services at lower (often zero) prices to users III.The Collection of User Data Does Not Lead to the Entrenchment of Dominant Online Platforms .Foreclosure of rivals through the collection of user data is highly unlikely 1.User data is non-rivalrous and incumbent online providers do not have (explicitde facto) exclusivity over user data 2.No one firm controls all, most,even a significant share of user data B.Competitive success of online platforms is driven by much more than the amount of user data collected C.Because of rapidly diminishing returns to user data, any advantages of scale generally weakeneven disappear at a low level 1.Diminishing returns in the provision of user services 2.Diminishing returns in monetization IV.Online Markets Have Not “Tipped” to Dominant Online Platforms A.There is no evidence that online markets have tipped to dominant platforms B. Platform differentiation reduces the propensity to tip to a dominant platform C. Multi-sided network effects do not reinforce tipping to a dominant platform 1. Multi-sided network effects for advertisers are limited 2.Multi-sided network effects for users are weak or nonexistent

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