Abstract
The rise of the platform economy has triggered the adoption of platform business models by large, established, and not-digitally born firms. While some anecdotal examples of the success or fail of platform-creation have been reported, it is still unclear how established firms strategizing for the creation of a platform-based business. Our field-based longitudinal study reveals how Ericsson navigated conflicting tensions and dynamically changed its strategy to establish a platform-based business. Our study shows the platform creation process in an emerging ecosystem by an established firm as an emergent process based on learning and feedback from interactions with other ecosystem members. Such feedback influences the firm’s understanding of its capabilities which informs adjustment of platform design and its role in the emerging ecosystem.
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