Orchestrating Platform Ecosystems: The Interplay of Innovation and Business Development Subsystems

Abstract

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“…Second, five alternative scenarios for platform-based market entry models were classified based on critical platform ecosystem characteristics (e.g. Sorri et al, 2019;Parker et al, 2016;Tura et al, 2018;Hein et al, 2020;Isckia et al, 2020). Scenarios aroused some variation in preferences among the key ecosystem actors.…”

“…Therefore, the openness of platform architecture comprise both technical and collaborative/contractual mechanisms, which enable access and participation modes of key actor groups in value creation and innovation (Hein et al, 2020;Tura et al, 2018;Parker et al, 2016;Lappalainen and Federley, 2021). The level of openness appeared to change along the platform co-evolution, even though previous architectural and strategic design choices play an important role in the platform ecosystem life cycle (e.g., Isckia et al, 2020). Modular architecture makes growing complexity manageable.…”

“…Competitiveness in a platform launch and diffusion is built by attracting, reaching, and maintaining critical mass against incumbent or other new players. While the complexity of platform ecosystem increases, increased openness is a necessity, calling for different governance mechanisms to balance with co-creation and value capture, as well as competition and collaboration within a co-evolving platform ecosystem against competitors (e.g., Hein et al, 2020;Isckia et al, 2020;Cennamo and Santaló, 2019;Letaifa, 2014;Lappalainen and Federley, 2021). Ischia et al (2020) interestingly demonstrated how platform owners build capabilities and orchestrate the coupling process between the innovation part and the business development part of the platform ecosystem.…”

“…Therefore, the purpose of this study is to increase empirical understanding on the emergence of platform-based business from an ecosystem perspective and to examine related alternative market entry models and strategies in smart construction. This paper builds on theoretical debates and recent studies regarding platform ecosystem characteristics as well as platform-based market-entry models and strategies, particularly in the construction industry (e.g., Gawer, 2014;Parker et al, 2016;Stummer et al, 2018;Woodhead et al, 2018;Hein et al, 2020;Sorri et al, 2019;Isckia et al, 2020;Wallin et al, 2021;Karhu and Ritala, 2020).…”

Goliath vs. Goliath, IT product management at Amazon and IBM

“…It would be unfair to compare Amazon and IBM in all their aspects since they are quite different companies in what they represent; IBM a true technological pioneer with more than hundred years of existence and technological innovation versus Amazon an internet sales company that rose after the bursting of the internet bubble (1995) and started as an online bookstore to be today the fourth largest company of the world by revenue according to the Fortune (Fortune Global 500) Global 500 published in 2021. Focus is given only to PM and specifically in tech products, were IBM as a traditional technology giant and Amazon "The Everything Store" who has evolved over the last decade to become even greater, have totally different approaches, both successful in their own way, a platform centric [4] and a customer-centric [5] approach respectively, a fact supported by the following use cases and literature review. This difference is not evident only from their products portfolio, but also from the workflows they implement related to NPD.…”