The race to dominate the mobile payments platform: Entry and expansion strategies

Electronic Commerce Research and Applications

Volumn 14, Issue 5, 2015, Pages 319-330

  Staykova, Kalina S ^a   Damsgaard, Jan ^a  

^a Department of International Economics and Management   (Denmark)

Author keywords

Digital payment platforms; Entry strategies; Expansion strategies; Financial services; Lock in effects; Mobile payments; Multi sided platforms; Network effects; Technology strategy

Indexed keywords

COMPETITION; ELECTRONIC MONEY; GLOBAL SYSTEM FOR MOBILE COMMUNICATIONS;

DIGITAL PAYMENT PLATFORMS; ENTRY STRATEGY; EXPANSION STRATEGIES; FINANCIAL SERVICE; LOCK-IN; MOBILE PAYMENT; MULTI-SIDED PLATFORMS; NETWORK EFFECTS; TECHNOLOGY STRATEGIES;

EXPANSION;

EID: 84944165194     PISSN: 15674223     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.elerap.2015.03.004     Document Type: Article

References (54)

1. Andersen, P. 2014. Nu kan du betale med Mobilepay i andre apps, Politiken, 19. Available at: politiken.dk/oekonomi/virksomheder/ECE2320556/nu-kan-du-betale-med-mobilepay-i-andre-apps/.
2. M. Armstrong Competition in two-sided markets RAND Journal of Economics 37 3 2006 668 691
3. B. Batiz-Lazo Competitive effects of IT Innovation on bank strategy, 1985-1995 2007 University Library of Munich, Germany MPRA Paper
4. Bhaskaran, S. R., Ramachandran, K. Technological evolution and launch timing: an analysis of the time-quality trade-off under competition. Research Paper Series No. IROM-04-06, McCombs School of Business, University of Texas at Austin, TX, 2006.
5. R.S. Bond, and D.F. Lean Sales promotion and product differentiation in two prescription drug markets 1977 Economic Report, Federal Trade Commission Washington, DC
6. D. Bowman, and H. Gatignon Determinants of competitor response time to a new product introduction Journal of Marketing Research 32 1 1995 42 53
7. G. Capone, F. Malerba, and L. Orsenigo Are switching costs always effective in creating first-mover advantage? the moderating role of demand and technological regimes Long Range Planning 46 4-5 2013 348 368
8. S. Chatterjee, and B. Wernerfelt The link between resources and type of diversification: theory and evidence Strategic Management Journal 12 1 1991 33 48
9. Y.R. Chen, C. Yang, S.M. Hsu, and Y.D. Wang Entry mode choice in China's regional distribution markets: Institution vs. transaction costs perspectives Industrial Marketing Management 38 7 2009 702 713
10. C.M. Christensen The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail 1997 Harvard Business School Press Boston, MA
11. J. Cronin Banking and Finance on the Internet 1998 John Wiley and Sons New York, NY
12. Danish Payment Council. The Danish Payments Council's report on new payment solutions. Report, Copenhagen, Denmark, 2013.
13. Danmarks Statistik. Danmark i tal 2013. Report, 2013.
14. T. Eisenmann Internet Business Models: Text and Cases 2002 McGraw-Hill/Irwin New York, NY
15. J. Eliashberg, and T.S. Robertson New product preannouncing behavior: a market signaling study Journal of Marketing Research 25 3 1988 282 292
16. D.S. Evans Some empirical aspects of multi-sided platform industries Review of Network Economics 2 3 2003 191 209
17. Evans, D. S. Two-sided market definition. ABA Section of Antitrust Law, Market Definition In Antitrust: Theory And Case Studies. Available at < http://www.ssrn.com/abstract=1396751 >, 2009.
18. C. Freeman The Economics of Industrial Innovation 3rd ed. 1997 MIT Press Cambridge, MA
19. J. Gardner Innovation and the Future Proof Bank: A Practical Guide to Doing Different Business-as-Usual 2009 John Wiley and Sons Hoboken, NJ
20. Gaur, A., Ondrus, J. The role of banks in the mobile payment ecosystem: a strategic asset perspective. In: Proceedings of the International Conference on Electronic Commerce, Singapore Management University, Singapore, August 7-8, ACM Press, New York, NY, 2012.
21. Hagiu, A. Multi-sided platforms: from microfoundations to design and expansion strategies. Strategy Unit Working Paper No. 09-115, Harvard Business School, Boston, MA, 2006.
22. A. Hagiu Strategic decisions for multisided platforms Sloan Management Review 55 2 2014
23. Hagiu, H., Halaburda, H. Information and two-sided platform profits. Working Papers 12-045, Harvard Business School, Boston, MA, 2013.
24. Hagiu, A., Wright, J. Multi-sided platforms. Working Paper, Harvard Business School, Boston, MA, 2011.
25. O. Heil, and T.S. Robertson Toward a theory of competitive market signaling: a research agenda Strategic Management Journal 12 6 1991 403 418
26. Kazan, E., Damsgaard, J. A framework for analyzing digital payment as a multi-sided platform: a study of three European NFC solutions. In: Proceedings of the 2013 European Conference on Information Systems, Association for Information Systems, Atlanta, GA, 2013.
27. Kim, B.-C, Lee, J., Park, H. Dynamic platform competition in a two-sided market: evidence from the online daily deals promotion industry. Working Paper No. 12-04, NET Institute, Stern School of Business, New York University, New York, NY, 2013.
28. C. Kohli Signaling new product announcements: a framework explaining the timing of announcements Unpublished doctoral dissertation 1992 Indiana University Bloomington, IN
29. S. Kuester, C. Homburg, and T.S. Robertson Retaliatory behavior to new product entry Journal of Marketing 63 4 1999 90 106
30. Y. Lee, and G.C. O'Connor New product launch strategy for network effects products Journal of the Academy of Marketing Science 31 3 2003 241 255
31. M. Levesque, and D. Shepherd How Long Should "followers" Delay Market entry? Technical Memorandum Number 782 2004 Weatherhead School of Management, Case Western Reserve Univ.
32. Linder, F. Decision time and steps of reasoning in a competitive market entry game. Working Paper 2013-19, Faculty of Economics and Statistics, University of Innsbruck, Austria, 2013.
33. M.B. Lieberman, and D.B. Montgomery First-mover advantages Strategic Management Journal 9 S1 1988 41 58
34. G.L. Lilien, and E. Yoon The timing of competitive market entry: an exploratory study of new industrial products Management Science 36 5 1990 568 585
35. D.P. McIntyre, and M. Subramaniam Strategy in network industries: a review and research agenda Journal of Management 35 6 2009 1 24
36. Norback, P.J., Persson, L., Svensson, R. Creative destruction and productive preemption. CEPR Discussion Paper No. 8281, London, UK, 2010.
37. M.E. Porter Competitive Advantage 1985 Free Press New York, NY
38. Rao, V. R., Su, M. New product preannouncement as a signaling strategy: an audience-specific review and analysis. Research Paper Series No. 05-08, Johnson School of Management, Cornell University, Ithaca, NY, 2010.
39. S. Rabino, and T.E. Moore Managing new product announcements in the computer industry Industrial Marketing Management 18 1 1995 35 43
40. T.S. Robertson, J. Eliashberg, and T. Rymon New Product Announcement Signals and Incumbent Reactions Journal of Marketing 59 3 1995 1 15
41. J. Rodríguez-Pinto, A.I. Rodríguez-Escudero, and J. Gutiérrez-Cillán Order, positioning, scope and outcomes of market entry Industrial Marketing Management 37 2 2008 154 166
42. J. Sandberg, J. Holmstrom, and K. Lyytinen Platform change: theorizing the evolution of hybrid product platforms in process automation. Platform Strategy Research Symposium 2013 Boston University Boston, MA July 25
43. M.A. Schilling Technology success and failure in winner-take-all markets: the impact of learning orientation, timing, and network externalities Academy of Management Journal 45 2 2002 387 398
44. Seamans, R., Zhu, F. Responses to entry in multi-sided markets: The impact of Craigslist on local newspapers. Working Paper No. 10-11, NET Institute, Stern School of Business, New York University, 2013.
45. M. Semadeni, and B.S. Anderson The Follower's Dilemma: Innovation and Imitation in the Professional Services Industry 2009 Academy of Management Meeting Chicago, IL
46. C. Shapiro, and H. Varian Information Rules 1999 Harvard Business School Press Boston, MA
47. Staykova, K. S., Damsgaard, J. A model of digital payment infrastructure formation and development: the EU regulator's perspective. In: Proceedings of 13th International Conference on Mobile Business, London, UK, June 4-5, 2014.
48. M. Su, and V.R. Rao New product preannouncement as a signaling strategy: an audience-specific review and analysis Journal of Product Innovation Management 27 5 2010 658 672
49. R.J. Thomas Timing: the key to market entry Journal of Consumer Marketing 2 3 1985 77 87
50. D. Tilson, K. Lyytinen, and C. Sorensen Digital infrastructures: the missing IS research agenda Information Systems Research 20 4 2010 48 759
51. D. Vakratsas, R. Rao, and G. Kalyanaram An empirical analysis of follower entry timing decisions Marketing Letters 14 3 2003 203 216
52. G. Young, K. Smith, and C. Grimm Austrian and industrial organization perspectives on firm-level competitive activity and performance Organization Science 7 3 1996 243 254
53. F. Zhu, and M. Iansiti Entry into platform-based markets Journal of Strategic Management 33 1 2012 88 106
54. J. Zittrain The Future of the Internet - And How to Stop It 2008 Yale University Press New Haven, CT