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Market power of digital platforms

Author

Listed:
  • Jens-Uwe Franck
  • Martin Peitz

Abstract

Digital platforms have reshaped many product markets and play an increasingly important role in economies around the globe. Some of these platforms have become powerful players and may possess a lot of market power. Economists use a number of indicators to assess market power. In this article we discuss to which extent these indicators are helpful in the context of digital platforms. In particular, we focus on assessing entrenched market power and the role of potential competition to constrain this power. Finally, we discuss some cross-border issues of platform market power.

Suggested Citation

  • Jens-Uwe Franck & Martin Peitz, 2023. "Market power of digital platforms," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 39(1), pages 34-46.
    • Handle: RePEc:oup:oxford:v:39:y:2023:i:1:p:34-46.
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    File URL: http://hdl.handle.net/10.1093/oxrep/grac045
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    Keywords

    market power; digital platforms; Big Tech; potential competition; Brussels effect;
    All these keywords.

    JEL classification:

    • K21 - Law and Economics - - Regulation and Business Law - - - Antitrust Law
    • L40 - Industrial Organization - - Antitrust Issues and Policies - - - General
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets

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