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-sustained growth and this depends on the strength of the externalities. In this paper, we propose a measure for the strength of the … externalities and define critical mass for two-sided platforms in terms of that parameter. Our definition is different from that …
Persistent link: https://www.econbiz.de/10012835145
if intra-group negative externalities are sufficiently (but not too) strong with respect to positive inter …-group externalities …
Persistent link: https://www.econbiz.de/10013317024
We propose a general framework for consumer demand in two-sided markets, modelling the way externalities between … externalities and establish the conditions for the existence of critical mass. The outstanding feature that distinguishes two … externalities. It is this platform-specific nature that makes skewed pricing profitable. When externalities are market-wide, skewed …
Persistent link: https://www.econbiz.de/10012871171
The paper investigates the construction of a low cost airline network by analyzing JetBlue Airways' entry decisions into nonstop domestic U.S. airport-pair markets between 2000 and 2009. Adopting duration models with time-varying covariates, we find that JetBlue consistently avoided concentrated...
Persistent link: https://www.econbiz.de/10009244223
if intragroup negative externalities are sufficiently (but not too) strong with respect to positive intergroup … externalities. …
Persistent link: https://www.econbiz.de/10010264140
consumption externalities, we show that an equilibrium price equals the marginal cost if and only if the buyer network is complete … or cyclic. When the externalities are approximately linear in the size of consumption, we identify the classes of …
Persistent link: https://www.econbiz.de/10009788069
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