Quality Assurance Competition Strategy under B2C Platform
This paper examines the platform competition strategy in offering quality assurance policy based on two-sided B2C markets with buyers and sellers who trade through the B2C platform. We model this as a strategy decision whether control rights of quality assurance level are better held by the seller o...
Saved in:
| Main Authors: | , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Wiley
2016-01-01
|
| Series: | Discrete Dynamics in Nature and Society |
| Online Access: | http://dx.doi.org/10.1155/2016/6587872 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1832560863822741504 |
|---|---|
| author | Yunmiao Gui Bengang Gong |
| author_facet | Yunmiao Gui Bengang Gong |
| author_sort | Yunmiao Gui |
| collection | DOAJ |
| description | This paper examines the platform competition strategy in offering quality assurance policy based on two-sided B2C markets with buyers and sellers who trade through the B2C platform. We model this as a strategy decision whether control rights of quality assurance level are better held by the seller or by the platform. Whether the seller or the platform that provides quality assurance policy is preferred depends on their influence on network effects. We show that the seller and the platform have no strong intention to improve the quality assurance level in the monopoly markets. When all buyers multihome and all sellers single-home, sellers who hold the control rights of quality assurance are better than platforms. However, platforms that hold quality assurance drive more profits than sellers in the B2C markets where all buyers and all sellers multihome. Our findings connect platform competitive strategies to market and microfoundation of quality, which applies directly to managerial decisions in the B2C two-sided platform. |
| format | Article |
| id | doaj-art-47c0f020745a4ab5a184ab5531e551c6 |
| institution | Kabale University |
| issn | 1026-0226 1607-887X |
| language | English |
| publishDate | 2016-01-01 |
| publisher | Wiley |
| record_format | Article |
| series | Discrete Dynamics in Nature and Society |
| spelling | doaj-art-47c0f020745a4ab5a184ab5531e551c62025-02-03T01:26:29ZengWileyDiscrete Dynamics in Nature and Society1026-02261607-887X2016-01-01201610.1155/2016/65878726587872Quality Assurance Competition Strategy under B2C PlatformYunmiao Gui0Bengang Gong1School of Management Engineering, Anhui Polytechnic University, Wuhu 241000, ChinaSchool of Management Engineering, Anhui Polytechnic University, Wuhu 241000, ChinaThis paper examines the platform competition strategy in offering quality assurance policy based on two-sided B2C markets with buyers and sellers who trade through the B2C platform. We model this as a strategy decision whether control rights of quality assurance level are better held by the seller or by the platform. Whether the seller or the platform that provides quality assurance policy is preferred depends on their influence on network effects. We show that the seller and the platform have no strong intention to improve the quality assurance level in the monopoly markets. When all buyers multihome and all sellers single-home, sellers who hold the control rights of quality assurance are better than platforms. However, platforms that hold quality assurance drive more profits than sellers in the B2C markets where all buyers and all sellers multihome. Our findings connect platform competitive strategies to market and microfoundation of quality, which applies directly to managerial decisions in the B2C two-sided platform.http://dx.doi.org/10.1155/2016/6587872 |
| spellingShingle | Yunmiao Gui Bengang Gong Quality Assurance Competition Strategy under B2C Platform Discrete Dynamics in Nature and Society |
| title | Quality Assurance Competition Strategy under B2C Platform |
| title_full | Quality Assurance Competition Strategy under B2C Platform |
| title_fullStr | Quality Assurance Competition Strategy under B2C Platform |
| title_full_unstemmed | Quality Assurance Competition Strategy under B2C Platform |
| title_short | Quality Assurance Competition Strategy under B2C Platform |
| title_sort | quality assurance competition strategy under b2c platform |
| url | http://dx.doi.org/10.1155/2016/6587872 |
| work_keys_str_mv | AT yunmiaogui qualityassurancecompetitionstrategyunderb2cplatform AT benganggong qualityassurancecompetitionstrategyunderb2cplatform |