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INVESTMENT INCENTIVES IN OPEN-SOURCE AND PROPRIETARY TWO-SIDED PLATFORMS
Indexado
WoS WOS:000354193800005
Scopus SCOPUS_ID:84928693752
DOI 10.1111/JEMS.12089
Año 2015
Tipo artículo de investigación

Citas Totales

Autores Afiliación Chile

Instituciones Chile

% Participación
Internacional

Autores
Afiliación Extranjera

Instituciones
Extranjeras


Abstract



We study incentives to invest in platform quality in open-source and proprietary two-sided platforms. Open platforms have open access, and developers invest to improve the platform. Proprietary platforms have closed access, and investment is done by the platform owner. We present five main results. First, open platforms may benefit from limited developer access. Second, an open platform may lead to higher investment than a proprietary platform. Third, opening one side of a proprietary platform may lower incentives to invest in platform quality. Fourth, the structure of access prices of the proprietary platform depends on (i) how changes in the number of developers affect the incentives to invest in the open platform, and (ii) how investment in the open platform affects the revenues of the proprietary platform. Finally, a proprietary platform may benefit from higher investment in the open platform. This result helps to explain why the owner of a proprietary platform such as Microsoft has chosen to contribute to the development of Linux.

Métricas Externas



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Disciplinas de Investigación



WOS
Economics
Management
Scopus
Sin Disciplinas
SciELO
Sin Disciplinas

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Publicaciones WoS (Ediciones: ISSHP, ISTP, AHCI, SSCI, SCI), Scopus, SciELO Chile.

Colaboración Institucional



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Autores - Afiliación



Ord. Autor Género Institución - País
1 Casadesus-Masanell, Ramon Hombre Harvard University - Estados Unidos
Harvard Business School - Estados Unidos
2 LLANES, GASTON HUGO EMILIO Hombre Pontificia Universidad Católica de Chile - Chile

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Financiamiento



Fuente
FONDECYT
Horizon 2020 Framework Programme
HBS Division of Research

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Agradecimientos



Agradecimiento
We thank two anonymous referees and the Editor for helpful comments that have resulted in a much better paper. We also thank Jay Pil Choi, Jacques Cremer, Andrei Hagiu, Hanna Halaburda, Andres Hervas-Drane, Elon Kohlberg, Francisco Ruiz-Aliseda, Yaron Yehezkel, David Zvilichovsky, and seminar participants at the Third Annual Searle Center Conference on Internet Search and Innovation (Northwestern University), the 39th Annual Conference of the European Association for Research in Industrial Economics (Rome, Italy), the 7th Bi-annual Conference on The Economics of Intellectural Property, Software and the Internet (Toulouse School of Economics), and Pontificia Universidad Catolica de Chile. Casadesus-Masanell gratefully acknowledges financial support from the HBS Division of Research. Llanes gratefully acknowledges financial support from FONDECYT Initiation to Research Grant No. 11110043.

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