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Limits of market power of digital platforms

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  • Kovalenko, A. I.

    (Synergy University)

Abstract

There are several equally important properties and factors that should be evaluated to decide on the market power and monopoly power of the digital platform.The article discusses examples of digital platforms - taxi aggregators and messengers, demonstrating various internal and external factors that are limiting the market power of digital platforms.First of all, the situation with taxi aggregators is considered, using the example of the industry leader - Uber - the platform leading in several countries stably brings only losses to investors. This example reveals the internal factors that limit market power.The following is an example of instant messengers and Twitter, which are faced with external restrictions on the market power of platforms.The listed internal and external factors limiting the market power of digital platforms is recommended to be investigated when analyzing and assessing the level of competition in the markets and deciding whether the digital platform occupies a dominant position in the industry market.

Suggested Citation

  • Kovalenko, A. I., 2020. "Limits of market power of digital platforms," Journal of Modern Competition, Synergy University, vol. 14(2), pages 89-105.
    • Handle: RePEc:snr:mdrcmp:v:14:y:2020:i:2:p:89-105
    DOI: 10.37791/1993-7598-2020-14-2-89-105
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