Threat of platform‐owner entry and complementor responses: Evidence from the mobile app market

@inproceedings{Wen2019ThreatOP,
  title={Threat of platform‐owner entry and complementor responses: Evidence from the mobile app market},
  author={Wen Wen and Feng Zhu},
  year={2019}
}
How do complementors respond to the threat of platform owner entry, and how do such responses differ from the responses to actual entry? We examine how app developers on the mobile platform Android adjust their rate and direction of innovation efforts and prices in response to Google’s entry threat and actual entry into to the app markets. We find that developers affected by Google’s entry reduce innovation efforts on their affected apps and increase these apps’ prices after entry threats… CONTINUE READING

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