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INFOSYS 306 Digital Business and Innovation

Tutorial 3

Objectives

This tutorial aims to

•   deepen your understanding of the concept of digital platforms and its ability to engage different groups of participants

•   reinforce your understanding of network effects

Tasks

1. Use the network effects matrix to describe the network effects on TradeMe.

2. a. Use the network effects matrix to describe the network effects on Uber.

b. Discuss if there are any spillover effects on Uber such that non-users of Uber (including both drivers and passengers) are also affected by Uber users’ activities?

3. a. Use the network effects matrix to describe the network effects on food delivery platforms such as Deliveroo, DoorDash and Uber Eats.

b. Discuss the heterogeneity of restaurants and how the heterogeneity affects the values restaurants derived from the platforms.

Belleflamme and Peitz (2021)

References:

Belleflamme, P., & Peitz, M. (2021). The Economics of Platforms. Cambridge University Press