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Modelling Perceived Risks Associated to the Entry of Complementors’ in Platform Enterprises: A Case Study

Author

Listed:
  • Elena-Teodora Miron

    (Research Group Knowledge Engineering, Faculty of Computer Science, University of Vienna, Währinger Str. 29, 1090 Vienna, Austria)

  • Anca Alexandra Purcarea

    (Faculty of Entrepreneurship, Business Engineering and Management, University Politehnica Bucharest, Splaiul Inpendentei 313, 060042 Bucharest, Romania)

  • Olivia Doina Negoita

    (Faculty of Entrepreneurship, Business Engineering and Management, University Politehnica Bucharest, Splaiul Inpendentei 313, 060042 Bucharest, Romania)

Abstract

Third-party innovators, i.e., complementors, in platform enterprises develop and commercialize add-on products which are one of the main attraction points for customers. To ensure a sustainable evolution of the enterprise, the platform owner needs to attract and retain high-quality third-party innovators. We posit that the transaction costs incurred upon joining the enterprise as well as the controls imposed by the platform owner throughout the development and commercialization process shape the innovator’s perceived risk and influence his decision on whether to join or not. Based on a literature review, the paper at hand proposes a conceptual model for complementors to assess their perceived risk and subsequently evaluates the model in a case study of a platform enterprise for IT-based modelling tools. While some of the propositions are validated, i.e., that informational controls decrease the perceived environmental uncertainty and implicitly the perceived risks, other propositions, such as the fact that asset specificity is a deterrent to entering the platform enterprise could not be validated. Further case studies are necessary to provide a conclusive proof of the proposed model.

Suggested Citation

  • Elena-Teodora Miron & Anca Alexandra Purcarea & Olivia Doina Negoita, 2018. "Modelling Perceived Risks Associated to the Entry of Complementors’ in Platform Enterprises: A Case Study," Sustainability, MDPI, vol. 10(9), pages 1-18, September.
    • Handle: RePEc:gam:jsusta:v:10:y:2018:i:9:p:3272-:d:169568
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    References listed on IDEAS

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    Cited by:

    1. Yuki Inoue, 2019. "Winner-Takes-All or Co-Evolution among Platform Ecosystems: A Look at the Competitive and Symbiotic Actions of Complementors," Sustainability, MDPI, vol. 11(3), pages 1-25, January.
    2. Haruo Awano & Masaharu Tsujimoto, 2022. "Mechanisms for Business Ecosystem Members to Capture Value through the Strong Network Effect," Sustainability, MDPI, vol. 14(18), pages 1-13, September.
    3. Yuki Inoue & Masataka Hashimoto & Takeshi Takenaka, 2019. "Effectiveness of Ecosystem Strategies for the Sustainability of Marketplace Platform Ecosystems," Sustainability, MDPI, vol. 11(20), pages 1-33, October.
    4. Yunhyoung Kim & Jeonghoon Mo, 2018. "Pricing of Digital Video Supply Chain: Free versus Paid Service on the Direct Distribution Channel," Sustainability, MDPI, vol. 11(1), pages 1-14, December.
    5. Kyu Tae Kwak & Seong Choul Hong & Sang Woo Lee, 2018. "An Analysis of a Repetitive News Display Phenomenon in the Digital News Ecosystem," Sustainability, MDPI, vol. 10(12), pages 1-16, December.
    6. Haruo Awano & Masaharu Tsujimoto, 2021. "The Mechanisms for Business Ecosystem Members to Capture Part of a Business Ecosystem’s Joint Created Value," Sustainability, MDPI, vol. 13(8), pages 1-20, April.

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