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Structural Holes in the Multi-Sided Market: A Market Allocation Structure Analysis of China’s Car-Hailing Platform in the Context of Open Innovation

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  • Lei Huang

    (Institute of Science, Technology and Society, Chinese Academy of Science and Technology for Development, Beijing 100038, China
    College of Economic and Social Development, Nankai University, Tianjin 300071, China)

  • Yandong Zhao

    (Institute of Science, Technology and Society, Chinese Academy of Science and Technology for Development, Beijing 100038, China
    Center for Studies of Sociological Theory & Method, Renmin University of China, Beijing 100872, China)

  • Liang Mei

    (National School of Development, Peking University, Beijing 100871, China
    Research Center for Future Education Management, Peking University, Beijing 100871, China)

  • Peiyi Wu

    (School of Public Policy and Management, Tsinghua University, Beijing 100084, China
    Department of Public Policy, City University of Hong Kong, Hong Kong 999077, China)

  • Zhihua Zhao

    (IP & Law Department, National Center for Science & Technology Evaluation, Beijing 100081, China)

  • Yijun Mao

    (Department of Research Management, Chinese Academy of Science and Technology for Development, Beijing 100038, China)

Abstract

Car-hailing platform governance is an emerging topic of research and practice. The governance of the data-driven platform economy is challenging the research paradigm of competition regulation in the context of open innovation. This research is trying to reveal the market allocation structure of China’s online car-hailing industry from the perspective of personal data allocation by the study of Application Programming Interface (API) of sample platforms. On the basis of the networked nature of personal data allocation via APIs, this research constructs a mathematical model of the edge weight of data resource connections between platforms. Furthermore, this research optimises the structural hole analysis of complex networks to discuss the state of personal data resource allocation in China’s car-hailing industry. Results reveal that there are obvious structural holes within the sample network. When compared with related indicators, we found that accessing personal data resources is an essential component of the sample network competition capability and sustainable innovation. Social media platforms and online payment platforms more greatly impact car-hailing platform competition than other types of platforms within the multi-sided market context. This research offers a research perspective of personal data allocation for further study of competition, regulation and sustainable innovation of data-driven platform economies.

Suggested Citation

  • Lei Huang & Yandong Zhao & Liang Mei & Peiyi Wu & Zhihua Zhao & Yijun Mao, 2019. "Structural Holes in the Multi-Sided Market: A Market Allocation Structure Analysis of China’s Car-Hailing Platform in the Context of Open Innovation," Sustainability, MDPI, vol. 11(20), pages 1-20, October.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:20:p:5813-:d:278351
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    3. Mohammadbashir Sedighi & Hamideh Parsaeiyan & Yashar Araghi, 2021. "An Empirical Study of Intention to Continue Using of Digital Ride-hailing Platforms," The Review of Socionetwork Strategies, Springer, vol. 15(2), pages 489-515, November.
    4. Belezas, Fernando & Daniel, Ana Dias, 2023. "Innovation in the sharing economy: A systematic literature review and research framework," Technovation, Elsevier, vol. 122(C).

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