IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v17y2025i4p1596-d1591627.html

Sustaining Multi-Sided Platforms While Creating Value: The Ride-Hailing Experience

Author

Listed:
  • Amna Javed

    (Japan Advanced Institute of Science and Technology, Nomi 923-1292, Japan)

  • Ahson Javaid

    (Rockettech.ch, 8374 Oberwangen, Switzerland)

  • Youji Kohda

    (Japan Advanced Institute of Science and Technology, Nomi 923-1292, Japan)

Abstract

Multi-sided platforms (MSPs) can enable multiple user groups to create coordinated value. Like all transformative business models, these platforms emerged to resolve platform-related issues. Among the well-known MSPs, this research has focused on the ride-hailing platform InDrive as a successful case of MSP in Pakistan. Despite the presence of major companies like Uber and Careem, InDrive has gained recognition in a short period and has become the most downloaded ride-hailing application in Pakistan. InDrive focuses on empowering riders and drivers with greater fare-setting autonomy through negotiation; this peer-to-peer pricing model distinguishes it from its counterparts (Uber and Careem). This research examines the strategic features and innovations of InDrive’s business model to create a comprehensive framework for evaluating the effectiveness of strategic management, focusing on generating value by balancing the well-being of all stakeholders, ensuring equity, boosting productivity, and enhancing the impact of network effects. Notably, ride-hailing services (RHSs) are highly dynamic, as the features and offerings of these platforms may evolve. Therefore, balancing the sustainability of MSPs requires ongoing effort and an iterative approach.

Suggested Citation

  • Amna Javed & Ahson Javaid & Youji Kohda, 2025. "Sustaining Multi-Sided Platforms While Creating Value: The Ride-Hailing Experience," Sustainability, MDPI, vol. 17(4), pages 1-21, February.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:4:p:1596-:d:1591627
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/17/4/1596/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/17/4/1596/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ahson Javaid & Amna Javed & Youji Kohda, 2019. "Exploring the Role of Boundary Spanning towards Service Ecosystem Expansion: A Case of Careem in Pakistan," Sustainability, MDPI, vol. 11(15), pages 1-27, July.
    2. Gawer, Annabelle, 2014. "Bridging differing perspectives on technological platforms: Toward an integrative framework," Research Policy, Elsevier, vol. 43(7), pages 1239-1249.
    3. Mark Armstrong, 2006. "Competition in two‐sided markets," RAND Journal of Economics, RAND Corporation, vol. 37(3), pages 668-691, September.
    4. Caillaud, Bernard & Jullien, Bruno, 2003. "Chicken & Egg: Competition among Intermediation Service Providers," RAND Journal of Economics, The RAND Corporation, vol. 34(2), pages 309-328, Summer.
    5. Rodolphe Durand & Robert M. Grant & Tammy L. Madsen & David P. McIntyre & Arati Srinivasan, 2017. "Networks, platforms, and strategy: Emerging views and next steps," Strategic Management Journal, Wiley Blackwell, vol. 38(1), pages 141-160, January.
    6. Jean-Charles Rochet & Jean Tirole, 2003. "Platform Competition in Two-Sided Markets," Journal of the European Economic Association, MIT Press, vol. 1(4), pages 990-1029, June.
    7. Sun, Luoyi & Teunter, Ruud H. & Babai, M. Zied & Hua, Guowei, 2019. "Optimal pricing for ride-sourcing platforms," European Journal of Operational Research, Elsevier, vol. 278(3), pages 783-795.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jingtao Yi & Jinqiu He & Lihong Yang, 2019. "Platform heterogeneity, platform governance and complementors’ product performance: an empirical study of the mobile application industry," Frontiers of Business Research in China, Springer, vol. 13(1), pages 1-20, December.
    2. Andreas Hein & Maximilian Schreieck & Tobias Riasanow & David Soto Setzke & Manuel Wiesche & Markus Böhm & Helmut Krcmar, 2020. "Digital platform ecosystems," Electronic Markets, Springer;IIM University of St. Gallen, vol. 30(1), pages 87-98, March.
    3. Liu, He & Li, Xuerong & Wang, Shouyang, 2021. "A bibliometric analysis of 30 years of platform research: Developing the research agenda for platforms, the associated technologies and social impacts," Technological Forecasting and Social Change, Elsevier, vol. 169(C).
    4. Jørgen Veisdal, 2020. "The dynamics of entry for digital platforms in two-sided markets: a multi-case study," Electronic Markets, Springer;IIM University of St. Gallen, vol. 30(3), pages 539-556, September.
    5. Nishikawa, Bruna T. & Orsato, Renato J., 2021. "Professional services in the age of platforms: Towards an analytical framework," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    6. Yuki Inoue & Takeshi Takenaka & Takami Kasasaku & Tadafumi Tamegai & Ryohei Arai, 2023. "How to design platform ecosystems by intrapreneurs: Implications from action design research on IoT-based platform," Electronic Markets, Springer;IIM University of St. Gallen, vol. 33(1), pages 1-26, December.
    7. Carmelo Cennamo & Hakan Ozalp & Tobias Kretschmer, 2018. "Platform Architecture and Quality Trade-offs of Multihoming Complements," Information Systems Research, INFORMS, vol. 29(2), pages 461-478, June.
    8. Jan Frederic Nerbel & Markus Kreutzer, 2023. "Digital platform ecosystems in flux: From proprietary digital platforms to wide-spanning ecosystems," Electronic Markets, Springer;IIM University of St. Gallen, vol. 33(1), pages 1-20, December.
    9. Gawer, Annabelle & Harracá, Martín, 2025. "Inconsistent platform governance and social contagion of misconduct in digital ecosystems: A complementors perspective," Research Policy, Elsevier, vol. 54(8).
    10. Vladimir C. M. Sobota & Mark de Reuver & Amir Pooyan Afghari & Geerten van de Kaa, 2026. "Strategic openness: Category variety, boundary resources, and exclusive content as drivers of complementor participation," Electronic Markets, Springer;IIM University of St. Gallen, vol. 36(1), pages 1-19, December.
    11. Peneder, Michael & Bilek-Steindl, Sandra & Bärenthaler-Sieber, Susanne & Bock-Schappelwein, Julia & Charos, Alexandros, 2025. "Business use of online platforms: Competition, satisfaction and willingness to pay," Technology in Society, Elsevier, vol. 82(C).
    12. Sui, Ronghua & Zhang, Xumei & Dan, Bin & Zhang, Haiyue & Liu, Yi, 2023. "Bilateral value-added service investment in platform competition with cross-side network effects under multihoming," European Journal of Operational Research, Elsevier, vol. 304(3), pages 952-963.
    13. Jacobides, Michael G. & Cennamo, Carmelo & Gawer, Annabelle, 2024. "Externalities and complementarities in platforms and ecosystems: From structural solutions to endogenous failures," Research Policy, Elsevier, vol. 53(1).
    14. 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.
    15. Bixiang Shi & Fangcheng Tang & Fenfen Wei, 2022. "The Path Constitution of Platform Evolution: An Organizational Momentum View," Sustainability, MDPI, vol. 14(15), pages 1-22, July.
    16. Federico Boffa & Amedeo Piolatto & Evila Piva & Florian Schuett, 2023. "Correction to: Industry dynamics in digital markets," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 50(1), pages 219-219, March.
    17. Fabian Schueler & Dimitri Petrik, 2022. "Objectives of platform research: A co-citation and systematic literature review analysis," Papers 2202.08822, arXiv.org.
    18. Mosterd, Lars & Sobota, Vladimir C.M. & van de Kaa, Geerten & Ding, Aaron Yi & de Reuver, Mark, 2021. "Context dependent trade-offs around platform-to-platform openness: The case of the Internet of Things," Technovation, Elsevier, vol. 108(C).
    19. Kang, Zhengyao & Kou, Hongwei & Zhou, Di & Shi, Xinwei & Parente, Ronaldo & Rong, Ke, 2025. "Platform-based multinational corporations (PMNCs):A research agenda in the field of international business," International Business Review, Elsevier, vol. 34(3).
    20. Carmen Leong & Silvia Lin & Felix Tan & Jie Yu, 2024. "Coordination in a Digital Platform Organization," Information Systems Research, INFORMS, vol. 35(1), pages 363-393, March.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:17:y:2025:i:4:p:1596-:d:1591627. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.