Group Hug: Platform Competition with User Groups
成果类型：
Article
署名作者：
Markovich, Sarit; Yehezkel, Yaron
署名单位：
Northwestern University; Tel Aviv University
刊物名称：
AMERICAN ECONOMIC JOURNAL-MICROECONOMICS
ISSN/ISSBN：
1945-7669
DOI：
10.1257/mic.20190372
发表日期：
2022
页码：
139-175
关键词：
摘要：
We consider platform competition for small users and a user group. One platform enjoys a quality advantage and the other benefits from favorable beliefs. We study whether the group mitigates the users' coordination problem-i.e., joining a low-quality platform because they believe that other users would do the same. We find that a group that can facilitate coordination on the high-quality platform may choose to maintain the dominance of the low-quality one. Users' utility is non-monotonic in the proportion of the group. Finally, we highlight factors that motivate the group to help the high-quality platform to win the market.
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