Abstract
This study has the objective of plotting the effects of network externalities and superstar software for the visualization and analysis of industry ecosystems. The output is made possible by gathering sales from a tracking website, associating each sale to a single consumer and by using a network visualization software. The result is a graph that shows strategic positioning of publishers and platforms, serving as a strategic tool for both academics and professionals. The approach is scalable to other industries and can be used to support analysis on mergers, acquisitions and alliances.
Highlights
Recent academic research in strategy and competitive intelligence has increasingly focused on interfirm relationships
This new approach is a real improvement on the visualization and analysis of business ecosystems
The main objective was to bring the effects of network externalities and superstar products to the visualization and analysis of industry ecosystems
Summary
Recent academic research in strategy and competitive intelligence has increasingly focused on interfirm relationships. The value network concept (Brandenburger & Nalebuff, 1996) has evolved into a business ecosystem analysis, where firms coexist and establish interdependent and symbiotic relationships (Moore, 1996). This leads to a complex pattern of links and relationships between companies (Iyer, Lee, & Venkatraman, 2006). Some technology driven industries are subjected to network effects (Shapiro & Varian, 1999) and the occurrence of superstars (Rosen, 1981). This means, respectively, that the value of a network is proportional to the number of users on it, and that some specific software titles (like Mario, in videogames) or artists (like The Beatles, in music) of exceptional quality yield a disproportionate payoff
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