Platform competencies

This excellent article by Mark Thompson from 2015 sets out the definition of a ‘digital business’ as one that is specifically configured to exploit shared internet-based infrastructure’s unique ability to:

  1. consolidate consumers into platforms of demand;
  2. simplify supply and value chains; and
  3. readily enable a much wider and plural supply base producing ecosystems of supply.

Sangeet Paul Choudary’s book Platform Scale explains the difference between ‘Pipe’ business models and ‘Platform’ business models:

The transition from pipes to platforms requires a shift in thinking:

  1. Markets: Consumers to Producers
  2. Competitive advantage: Resources to Ecosystems
  3. Value creation: Processes to Interactions

And interestingly he argues that platforms need interaction-first thinking, above user-first thinking

A whole host of new skills and functions are needed to establish and grow a platform.

Market making


Behaviour and culture

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