Abstract
Two-sided markets (or platforms) are defined as the platforms that provide goods or services to two distinct groups of customers, and that intermediate the transactions between these groups. Such platforms are of great importance in todays global business world and considerable amount of value is created by these platforms. The success of numerous firms in the business world, including but are not limited to Google, eBay, Amazon, Microsoft, Apple, Sony PlayStation, Visa, is mainly due to the advantages provided by the two-sided platforms. This paper is devoted to the two-sided markets phenomenon, its basic characteristics, architecture as well as mechanism. The paper explains the aforementioned information regarding two-sided markets by providing the case from Apples digital application platform. Furthermore, Apples competitive advantage stemming from this platform has been articulated by the theoretical perspective provided by the Resource Based View (RBV).
Highlights
Two-sided markets, known as two-sided platforms, are one of the emerging business models
In today’s economy, a considerable proportion of the value is created by two-sided platform businesses and the community built by them (Evans and Schmalensee, 2007)
The term is first coined by Rochet and Tirole (2003) and well defined by Evans (2003a, 2003b) as the platforms that “provide goods or services to several distinct groups of customers who need each other in some way and who rely on the platform to intermediate transactions between them” (Evans, 2003a; Evans, 2003b; Rochet and Tirolei, 2003)
Summary
Two-sided markets, known as two-sided platforms (or multi-sided platforms), are one of the emerging business models. In today’s economy, a considerable proportion of the value is created by two-sided platform businesses and the community built by them (Evans and Schmalensee, 2007). Examples of such platforms include but are not limited to Google, eBay, Amazon, Microsoft, Apple, Sony PlayStation, Visa, etc. Two-sided markets bring two groups of agents together to create a value-added platform (Evans and Schmalensee, 2007). With its digital application market, has built one of the most appealing platforms in mobile device market This platform deserves to be named as a two-sided market because of the necessary components that it possesses. Competitive advantage created by Apple’s two-sided market will be detailed from the perspective of resource-based view
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
