Managing Customers in Online Two-Sided Platforms: A Case of App-Cabs in an Emerging Economy

Megha Sharma () and Subhasis Mishra ()
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Megha Sharma: IIM Calcutta
Subhasis Mishra: IIM Calcutta

Chapter Chapter 2 in Services Marketing Issues in Emerging Economies, 2020, pp 15-22 from Springer

Abstract: Abstract This paper focuses on customer management in online two-sided platforms (OTSPs) in emerging markets such as India. OTSPs deal with two groups of customers, those availing platform for selling products or services and those buying these products or services. As the business model of OTSPs is built on network effect, using an existing model of platform business for developed markets, we show that in light of the challenges faced by customers in emerging markets, in the long run, it is beneficial for the platform to set welfare-maximizing prices instead of the myopic profit-maximizing prices.

Date: 2020
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-981-15-8787-0_2

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DOI: 10.1007/978-981-15-8787-0_2

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