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Platform control during battles for market dominance: The case of Apple versus IBM in the early personal computer industry

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  • den Hartigh, Erik
  • Ortt, J. Roland
  • van de Kaa, Geerten
  • Stolwijk, Claire C.M.

Abstract

We conduct a case study of the battle for market dominance between the industry platforms led by Apple and by IBM in the early personal computer industry (1977–1986). Platform leaders such as Apple or IBM need to consider many technological, strategic, and network factors in managing their industry platforms. We explore how platform leaders deploy these factors and their interactions during a battle for market dominance. We find that platform leaders choose various control modes to do so, ranging from central control to distributed control. The adoption of these control modes is dependent on the choice of being first entrant with a technological discontinuity (central control) or follower (distributed control). Within a control mode, technological, strategic, and network factors are managed in a coherent way.

Suggested Citation

  • den Hartigh, Erik & Ortt, J. Roland & van de Kaa, Geerten & Stolwijk, Claire C.M., 2016. "Platform control during battles for market dominance: The case of Apple versus IBM in the early personal computer industry," Technovation, Elsevier, vol. 48, pages 4-12.
    • Handle: RePEc:eee:techno:v:48-49:y:2016:i::p:4-12
    DOI: 10.1016/j.technovation.2015.12.001
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    5. Kapoor, Kawaljeet & Ziaee Bigdeli, Ali & Dwivedi, Yogesh K. & Schroeder, Andreas & Beltagui, Ahmad & Baines, Tim, 2021. "A socio-technical view of platform ecosystems: Systematic review and research agenda," Journal of Business Research, Elsevier, vol. 128(C), pages 94-108.
    6. Xing Wan & Javier Cenamor & Jing Chen, 2017. "Exploring Performance Determinants of China’s Cable Operators and OTT Service Providers in the Era of Digital Convergence—From the Perspective of an Industry Platform," Sustainability, MDPI, vol. 9(12), pages 1-19, December.
    7. Maxime Thomas & Pascal Le Masson & Benoit Weil & Julien Legrand, 2021. "The future of digital platforms: Conditions of platform overthrow," Post-Print hal-03094851, HAL.
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    11. Habib, Tufail & Kristiansen, Jimmi Normann & Rana, Mohammad Bakhtiar & Ritala, Paavo, 2020. "Revisiting the role of modular innovation in technological radicalness and architectural change of products: The case of Tesla X and Roomba," Technovation, Elsevier, vol. 98(C).
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    13. Kurtmollaiev, Seidali & Lervik-Olsen, Line & Andreassen, Tor W., 2022. "Competing through innovation: Let the customer judge!," Journal of Business Research, Elsevier, vol. 153(C), pages 87-101.
    14. Essen, Anna & Frishammar, Johan & Cenamor, Javier, 2023. "Entering non-platformized sectors: The Co-evolution of legitimacy debates and platform business models in digital health care," Technovation, Elsevier, vol. 121(C).
    15. Iizuka, Michiko & Ikeda, Yoko, 2019. "Regulation and innovation under Industry 4.0: Case of medical/healthcare robot, HAL by Cyberdyne," MERIT Working Papers 2019-038, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
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