The role of complementary products on platform adoption: Evidence from the video console market

Research output: Contribution to journalArticle

Abstract

This paper studies the importance of the interdependences within platform-based markets. Specifically, the work examines the influence of complementary product portfolios on the adoption of platforms by individuals. The study analyzes data from a panel of 17 video game platforms in three regions (the US, Japan and Europe) for the period between 1989 and 2011. The results suggest that platform adoption is driven by the availability and users of complementary products. The study also finds that this impact is stronger when platform providers jointly manage the in-house complementary product portfolio and the platform. These findings reveal that decisions on complementary products act as strategic drivers of adoption in platform-based markets.

Details

Authors
External organisations
  • Carlos III University of Madrid
Research areas and keywords

Subject classification (UKÄ) – MANDATORY

  • Business Administration

Keywords

  • adoption, complementarities, complementary product, network effects, platform-based market, video console market
Original languageEnglish
Pages (from-to)405-416
Number of pages12
JournalTechnovation
Volume33
Issue number12
Publication statusPublished - 2013 Dec
Publication categoryResearch
Peer-reviewedYes
Externally publishedYes