1. Measuring platform return on participation
- Author
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Clements, Z. (Zoë), Parmar, R. (Rashik), and Thomas, L.D.W. (Llewellyn D. W.)
- Subjects
Platform onboarding ,Industry platform ,Return on participation ,Return on investment - Abstract
While industry platforms can transform industries and drive the digital economy, little guidance exists to help managers decide which industry platform to join. Derived from industry research, we propose a six-step return-on-participa- tion (ROP) method that enables managers to clearly and logically review how their firms are affected by a platform, what the benefits are, how current and future var- iable and fixed costs vary, as well as the often-hidden joining costs. We suggest this technique could also be used by managers to compare competing platforms and by platform owners to evaluate the attractiveness of their offerings.
- Published
- 2022