Ridesharing and Platform Economy

2.

Economic Principles of Digital Platforms

2.1.

Multi-Sided Market Theory

2.1.1.

Two-Sided Markets

2.1.2.

Multi-Sided Markets

2.1.3.

Platform as Intermediary

2.1.4.

Connecting Distinct User Groups

2.1.5.

Facilitating Transactions

2.2.

Network Effects in Detail

2.2.1.

Cross-Side Network Effects

2.2.2.

Same-Side Network Effects

2.2.3.

Positive Network Externalities

2.2.4.

Negative Network Externalities

2.2.5.

Network Effect Measurement

2.3.

Platform Launch Challenges

2.3.1.

Chicken-and-Egg Problem

2.3.2.

Initial User Acquisition Strategies

2.3.3.

Market Side Subsidization

2.3.4.

Critical Mass Building

2.4.

Transaction Cost Economics

2.4.1.

Search and Information Costs

2.4.2.

Bargaining and Decision Costs

2.4.3.

Policing and Enforcement Costs

2.4.4.

Platform Solutions to Transaction Costs

2.5.

Pricing Mechanisms

2.5.1.

Dynamic Pricing Models

2.5.2.

2.5.3.

Personalized Pricing

2.5.4.

Commission Structures

2.5.5.

2.5.6.

Revenue Optimization

2.6.

Platform Competition Dynamics

2.6.1.

Winner-Take-All Markets

2.6.2.

Market Concentration Tendencies

2.6.3.

Barriers to Entry

2.6.4.

Platform Envelopment

2.6.5.

Service Bundling

2.6.6.

Multi-Homing Behavior

2.6.7.

Platform Switching Costs

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1. Introduction to the Platform Economy

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3. Ridesharing Business Model Analysis