Platform Contracting With Developers

Anette Boom, Wolfgang Gick

Publikation: KonferencebidragPaperForskningpeer review

Abstrakt

A monopoly integrator platform contracts with two developers and sells to acontinuum of consumers. We study two contractual implementation modes betweenthe platform and the developers under adverse selection, also permitting for a de-velopment stage. Exemplifying a new “openness-versus-control” trade-off, Bayesianimplementation leads to more distortions in equilibrium. The alternative, more opencontracting mode of Pareto-dominant strategy implementation, not yet studied in aplatform context, enables more first-best outcomes under joint quality determinationand higher expected consumer surplus. Our analysis delivers a new explanation forplatform-based organizational choices.
OriginalsprogEngelsk
Publikationsdato2019
Antal sider33
StatusUdgivet - 2019
Begivenhed 46th Annual Conference of the European Association for Research in Industrial Economics. EARIE 2019 - Ciutadella of the Universitat Pompeu Fabra, Barcelona, Spanien
Varighed: 30 aug. 20191 sep. 2019
Konferencens nummer: 46
https://www.barcelonagse.eu/earie2019

Konference

Konference 46th Annual Conference of the European Association for Research in Industrial Economics. EARIE 2019
Nummer46
LokationCiutadella of the Universitat Pompeu Fabra
LandSpanien
ByBarcelona
Periode30/08/201901/09/2019
Internetadresse

Emneord

  • Platform organization
  • Openness vs. control
  • Quality and component development
  • Pareto-dominant strategy implementation vs. Bayesian implementation

Citationsformater

Boom, A., & Gick, W. (2019). Platform Contracting With Developers. Paper præsenteret på 46th Annual Conference of the European Association for Research in Industrial Economics. EARIE 2019, Barcelona, Spanien. https://editorialexpress.com/cgi-bin/conference/download.cgi?db_name=EARIE19&paper_id=600