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Winner-Does-Not-Take-All: Selective Attention and Local Bias in Platform-Based Markets

Research output: Chapter in Book/Report/Conference proceedingConference contributionScientificpeer-review

Standard

Winner-Does-Not-Take-All : Selective Attention and Local Bias in Platform-Based Markets. / Huotari, Pontus; Järvi, Kati; Kortelainen, Samuli; Huhtamäki, Jukka.

Academy of Management Proceedings: Meeting Abstract Supplement. Academy of Management, 2015. (Academy of Management. Annual Meeting Proceedings).

Research output: Chapter in Book/Report/Conference proceedingConference contributionScientificpeer-review

Harvard

Huotari, P, Järvi, K, Kortelainen, S & Huhtamäki, J 2015, Winner-Does-Not-Take-All: Selective Attention and Local Bias in Platform-Based Markets. in Academy of Management Proceedings: Meeting Abstract Supplement. Academy of Management. Annual Meeting Proceedings, Academy of Management, Annual meeting of the Academy of Management, 1/01/00.

APA

Huotari, P., Järvi, K., Kortelainen, S., & Huhtamäki, J. (2015). Winner-Does-Not-Take-All: Selective Attention and Local Bias in Platform-Based Markets. In Academy of Management Proceedings: Meeting Abstract Supplement (Academy of Management. Annual Meeting Proceedings). Academy of Management.

Vancouver

Huotari P, Järvi K, Kortelainen S, Huhtamäki J. Winner-Does-Not-Take-All: Selective Attention and Local Bias in Platform-Based Markets. In Academy of Management Proceedings: Meeting Abstract Supplement. Academy of Management. 2015. (Academy of Management. Annual Meeting Proceedings).

Author

Huotari, Pontus ; Järvi, Kati ; Kortelainen, Samuli ; Huhtamäki, Jukka. / Winner-Does-Not-Take-All : Selective Attention and Local Bias in Platform-Based Markets. Academy of Management Proceedings: Meeting Abstract Supplement. Academy of Management, 2015. (Academy of Management. Annual Meeting Proceedings).

Bibtex - Download

@inproceedings{293e40b0f45b4890b85dcdabee074476,
title = "Winner-Does-Not-Take-All: Selective Attention and Local Bias in Platform-Based Markets",
abstract = "We examine competition between platforms in platform-based markets with agent-based modeling. In our proposed model, a consumer adopts a platform that offers the most relative utility of competing platforms. More specifically, the utility is derived from the local direct network effects arising from the social network of the consumer and the indirect network effects arising from complementary products of the platform. We portray the consumer as selectively attentive and locally biased. We contrast the proposed model to several alternative models with empirical data from the competition between Sony’s PlayStation 3 and Microsoft’s Xbox 360 and show that the proposed model, where the aforementioned consumer characteristics, and platform pricing, explain the adoption decisions of consumers and thus the division of the market between platforms. We offer important insights on how the dynamics of competition on the macro-level emerge from micro-level interactions between consumers.",
author = "Pontus Huotari and Kati J{\"a}rvi and Samuli Kortelainen and Jukka Huhtam{\"a}ki",
year = "2015",
month = "1",
language = "English",
series = "Academy of Management. Annual Meeting Proceedings",
publisher = "Academy of Management",
booktitle = "Academy of Management Proceedings",

}

RIS (suitable for import to EndNote) - Download

TY - GEN

T1 - Winner-Does-Not-Take-All

T2 - Selective Attention and Local Bias in Platform-Based Markets

AU - Huotari, Pontus

AU - Järvi, Kati

AU - Kortelainen, Samuli

AU - Huhtamäki, Jukka

PY - 2015/1

Y1 - 2015/1

N2 - We examine competition between platforms in platform-based markets with agent-based modeling. In our proposed model, a consumer adopts a platform that offers the most relative utility of competing platforms. More specifically, the utility is derived from the local direct network effects arising from the social network of the consumer and the indirect network effects arising from complementary products of the platform. We portray the consumer as selectively attentive and locally biased. We contrast the proposed model to several alternative models with empirical data from the competition between Sony’s PlayStation 3 and Microsoft’s Xbox 360 and show that the proposed model, where the aforementioned consumer characteristics, and platform pricing, explain the adoption decisions of consumers and thus the division of the market between platforms. We offer important insights on how the dynamics of competition on the macro-level emerge from micro-level interactions between consumers.

AB - We examine competition between platforms in platform-based markets with agent-based modeling. In our proposed model, a consumer adopts a platform that offers the most relative utility of competing platforms. More specifically, the utility is derived from the local direct network effects arising from the social network of the consumer and the indirect network effects arising from complementary products of the platform. We portray the consumer as selectively attentive and locally biased. We contrast the proposed model to several alternative models with empirical data from the competition between Sony’s PlayStation 3 and Microsoft’s Xbox 360 and show that the proposed model, where the aforementioned consumer characteristics, and platform pricing, explain the adoption decisions of consumers and thus the division of the market between platforms. We offer important insights on how the dynamics of competition on the macro-level emerge from micro-level interactions between consumers.

UR - http://proceedings.aom.org/content/2015/1/16901.short

M3 - Conference contribution

T3 - Academy of Management. Annual Meeting Proceedings

BT - Academy of Management Proceedings

PB - Academy of Management

ER -