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Business Model

Platform economy

Marketplace and Platform Models

The platform economy is made up of the economic and social activity carried out through digital platforms such as Amazon, Airbnb, Uber, Microsoft and Google, which act as intermediaries connecting different groups of users and enabling interaction, transactions, collaboration and innovation between them. Platform businesses rely heavily on network effects, since a platform's value grows as more users join it, which has let some platform companies scale rapidly and gain influence worldwide; the underlying idea of a platform connecting buyers and sellers has ancient roots in matchmaking and exchange, but the rise of the internet in the 1990s greatly accelerated its growth, and the platform economy expanded further after the 2008 financial crisis with the emergence of sharing economy services such as Airbnb and labour market platforms such as TaskRabbit. The model has also brought precarious gig economy work arrangements, reduced labour protections and concerns about tax avoidance and market concentration, and it has drawn growing regulatory scrutiny in recent years, particularly in the European Union over fair competition and worker protection. This description is adapted from Wikipedia contributors under CC BY-SA 4.0; changes were made. https://creativecommons.org/licenses/by-sa/4.0/

Facts
Core Mechanism
The platform economy operates through digital platforms that act as intermediaries connecting distinct groups of users, such as buyers and sellers or riders and drivers, capturing value from the transactions, interactions and data that pass between them rather than by producing the underlying goods or rides themselves. 1
Connections

Associated With

Source Wikipedia, Platform Economy
Source Wikipedia, Platform Economy
Source Wikipedia, Platform Economy
Source Wikipedia, Platform Economy
Source Wikipedia, Platform Economy
Source Wikipedia, Platform Economy
Source Wikipedia, Platform Economy
Sources
1. Wikipedia, Platform Economy
Wikipedia
  • Lead section
    The platform economy encompasses economic and social activities facilitated by digital platforms. These platforms - such as Amazon, Airbnb, Uber, Microsoft and Google - serve as intermediaries between various groups of users, enabling interactions, transactions, collaboration, and innovation.
  • Associated With: Amazon, Wikipedia lead; target 266347
    These platforms, such as Amazon, Airbnb, Uber, Microsoft and Google, serve as intermediaries between various groups of users, enabling interactions, transactions, collaboration, and innovation.
  • Associated With: Microsoft, Wikipedia lead; target 267948
    These platforms, such as Amazon, Airbnb, Uber, Microsoft and Google, serve as intermediaries between various groups of users, enabling interactions, transactions, collaboration, and innovation.
  • Associated With: Google, Wikipedia lead; target 269116
    These platforms, such as Amazon, Airbnb, Uber, Microsoft and Google, serve as intermediaries between various groups of users, enabling interactions, transactions, collaboration, and innovation.
  • Associated With: Tencent, Wikipedia lead and sections; target 279760
    China's platform economy is dominated by homegrown companies like Alibaba and Tencent, while foreign platforms like eBay have struggled to gain market share.
  • Associated With: Naspers, Wikipedia lead and sections; target 353710
    A global survey identified only one African platform company valued over $1 billion: Naspers, based in Cape Town.
  • Associated With: E-commerce Industry, Wikipedia lead and sections; target 291555
    Outside China, Asian platforms have seen rapid growth in sectors like e-commerce.
  • Associated With: Food Delivery Industry, Wikipedia lead and sections; target 410214
    In sectors such as e-commerce and food delivery, exclusivity agreements can further restrict competition, reducing overall societal welfare.
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