In a platform-mediated network, users rely on a mutual platform (provided by one or more intermediaries) that encompasses infrastructure and rules demanded by users to transact with each other. A fundamental design choice for companies that aspire to develop platform-mediated networks is share their platform with competitors or whether to maintain proprietary control.
Managing Proprietary and Shared Platforms Case Study Solution
A proprietary platform has an individual provider that solely commands its technology (for instance, Federal Express, Apple Macintosh, or Google). With a common platform such as Visa, DVD, or Linux, multiple companies collaborate in developing the technology of the platform then compete in offering distinct but compatible variants of the platform to users.
This article examines factors that favor proprietary versus common models when designing platforms and clarifies how management challenges differ for proprietary and common platform providers when marshalling
PUBLICATION DATE: August 01, 2008 PRODUCT #: CMR402-HCB-ENG
This is just an excerpt. This case is about LEADERSHIP & MANAGING PEOPLE