Читать книгу End Of Competition, The: The Impact Of The Network Economy - C N A Molenaar - Страница 34

In the traditional approach (of Porter) this form of competition was based on established markets and fixed market relationships. Technology led to efficiency; but robotisation also led to equivalent products — the same appearance and same quality. The negotiations were based on prices and margins. Due to the new entrants, with their different focus, keen prices and considerable service, the competitive relationships have changed. The first response involved trying to keep costs down by employing cheaper personnel, increasing efficiency and outsourcing to low-wage countries. These actions did not always lead to success. As the product supply became transparent, the power of the purchaser increased. The number of providers also increased, thanks to the possibilities offered by networks and the Internet.

This collaboration in markets and on platforms is determined by the customer or by providers. The idea behind the MSPs is an integral market approach by various providers (which is why it is described as multisided). A supplier works within the platform together with other, often complementary, parties in order to gain negotiating power and market reach. This is convenient for buyers, as they only have to negotiate with one party. This far-reaching form of collaboration between parties, which characterises the network economy, has a strong influence on the market relationships. Platforms as they are now are the first signs of this. The platform and network become the market; due to the transparency and the analyses, this concept forms a strong competitor for the traditional market relationships and market parties. This changes the chain, but also a supplier’s negotiating power (making it stronger and more diverse).

The suppliers’ new negotiation position serves as a way of looking at the competition. Traditionally, suppliers look at the competition, how many are there and what is their market share; this gives them an indication of the competitive position in the market. It is only possible to observe the competition in the traditional market by looking at what customers are doing (network effects). This is a change that is perfectly in line with the customer-oriented approach of platforms and networks. Buyers and behaviour are central. In this way, it is easy to predict what users will do, as described earlier. The dominant player has an approximately 70% market share, with strong network effects. This reinforces the position of the market leaders and makes people less inclined to switch to a smaller provider. Users trust the platform as well as the providers on the platform. We see this with, for example, Aliexpress.com where customers buy from unknown, usually Chinese, suppliers. Aliexpress.com is the partner that is trusted here.