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Vertical and horizontal complementarities in platform ecosystems

delete2024-01-18
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OA
AI
L
Llewellyn D W Thomas
P
Paavo Ritala
K
Kimmo Karhu
DOI:10.1080/14479338.2024.2303593delete
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Abstract

Abstract

En 中文
We develop a framework of vertical and horizontal complementarities in platform ecosystems. Complementarity is a key theoretical construct for scholars investigating digital platforms and ecosystems, often mentioned in the context of complements, components, modularity, interdependence, and synergies. We shortly review the literature on complementarities in general strategy literature and then conceptualise complementarities in platform ecosystems. We distinguish between 'vertical complementarity' which signifies how complements (e.g., apps) increase the value of a platform (e.g., Android) and 'horizontal complementarity' which relates to the value creating complementarities between complements on a platform (e.g., an email and a calendar app). This distinction helps to clarify the notion of complementarities in platform ecosystems and has implications for our understanding of network effects, interdependence, generativity, platform governance, and platform strategy.
Keywords:
Platform
ecosystem
complement
complementarity
interdependence

Journal

I
Innovation Organization and Management
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1.8
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Citations:
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University of Navarra
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IESE Business School cover
IESE Business School
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Lappeenranta-Lahti University of Technology LUT
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