University of Lodz Faculty of Management Department of Entrepreneurship and Industrial Policy Dr. Pawel Glodek

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1 University of Flensburg International Institute of Management Chair for Strategic and International Management Prof. Dr. Susanne Royer University of Lodz Faculty of Management Department of Entrepreneurship and Industrial Policy Dr. Pawel Glodek University of Applied Sciences Kempten Faculty of Business Administration International Management: Marketing & Sales Prof. Dr. Uwe Stratmann February 10, 2014 Distance Learning Project [MIM S2 12] on Platform markets and network effects: Cases from different market contexts In the summer semester 2014 a cooperative course is held by the University of Lodz, Poland, the University of Flensburg, Schleswig Holstein, Germany, and the University of Applied Sciences, Kempten, Bavaria, Germany. The course deals with so called platform markets which consist of two or more relevant market sides. Examples are the videogame industry, the credit card industry or different online platform markets. Network effects are a central characteristic of such markets. Strategic requirements to establish and manage products which are affected by network effects are central in the investigated cases which are in the focus of this course. Different to products offered in so called one sided markets, companies supplying products in platform markets need to attract, coordinate and manage a complex set of different actors who supply a sufficient number of complementary products and services. This again is the key requirement to attract a certain number of customers and to obtain competitive advantage. The overall scale of participants from both customer and complementary supplier sides is vital for the overall success of products here. Due to that the management perspective is shifting from company to platform level. The objective of this course lies in studying different cases of platform markets. This project is designed to acquaint the participants with in depth theoretical and practical knowledge of this field. Further, the participants gain experience in cooperating in international teams regarding these topics. The following platform markets are investigated: 1. Videogame Industry (Sony Playstation 4 vs. Microsoft Xbox One vs. Nintendo Wii U) 2. Credit Card Industry (MasterCard, Visa, Amex, ) 3. E Mobility in the Automotive Sector (new mobility solutions & new technologies) 4. Operation Systems (Apple vs. Windows or Android vs. ios) 5. Online Platform Markets (e.g., ebay, Monster, Amazon, ) To better understand the dynamics in these different market places, it is useful to get an in depth understanding of different players active in the respective industries, the business models and how players bundle resources and capabilities with partners. Next to understanding chosen business models to succeed in overcoming network effects, it is relevant to investigate the market conditions in which such business models are embedded. Therefore, relevant questions regarding the different platform market case investigations are: Version: February 10, 2014

2 1. Which are relevant industry characteristics of the analysed platform market? 2. Who are relevant actors in the investigated market context? 3. Which relationships between the relevant actors can be identified and how can they be mapped? 4. Which business models can be found in the investigated platform market? 5. Which (new) usage patterns and customer requirements play a role when players want to reach the critical mass in the investigated platform market? 6. Which strategies have been used to manage the implications of the network effects? Preliminary Outline 2014: March March 31 April 4 April 7 11 April 9 April April + May April 23 TBA May 14 May Mid June June 23 Lodz University (LU): Meetings for the Lodz students with introduction to the course and planning of the trip to Flensburg University of Applied Sciences Kempten (HSK): Meeting for the HS Kempten students with introduction to the course HSK: Meetings for the HSK students with planning of joint Kick off workshop UF: Meeting for the Flensburg students with introduction to the course & planning of joint kick off workshop Joint kick off in Flensburg with the participants from the partner Universities with: international team building introduction lectures regarding the core topic discussion of the selected topics for the papers introduction into a general research framework students presentations regarding their research projects. Group work at the different locations supported by video conferences in which each participant group briefly presents and afterwards discusses the current state of their work (10 minute presentations) as well as communication via other channels such as e mail and the BSCW Server UF: Discussion of topic structuring and preparation of the video conference for the Flensburg students LU: Discussion of topic structuring and preparation of the video conference for the Lodz students Video conference Common workshop with the participants from the partner Universities in Lodz with: Expert lectures Group work Student presentations UF/LU/HSK: Discussion of the current state of the research papers for the Lodz, Flensburg and Kempten students in their respective locations Delivery final paper

3 Aims and objectives: to experience working in an intercultural and interdisciplinary team to integrate knowledge from different modules and apply it into a research study to learn how to set up a small empirical research to learn how to present the research results to experience working in a distance learning project Tentative Assignment The final goal of this course is the production of a paper dealing with one of the outlined subjects in a team of Polish and German students of different levels and to give presentations about them at the University of Lodz/Poland. The topics should not only focus on theoretical facets of the specified topic but also look at the practical side of it. If students are able to collect primary data via interviews or surveys that is laudable. If such possibilities do not exist, it however is also possible to gain the required data by doing secondary research, analysing homepages and other relevant material. Further, the participation in the kick off part at the International Institute for Management at the University of Flensburg, Germany (including team building activities and introductory lectures) as well as in video conferences are compulsory parts of the course. The paper of each group should consist of approximately 25 pages excluding attachments, table of contents etc., printed in Times New Roman 12 pt. spacing 1.5. Next to the Credit Points given for the course at the different Universities, the students get a joint certificate signed by the partners about their participation in the project.

4 Helpful Articles Caillaud, B.; Jullien, B.: Chicken & Egg: Competition among intermediation service providers, in: Rand Journal of Economics, Vol. 34, No. 2, 2003: Dietl, H. M.; Franck, E.; Royer, S.: Strategische Wettbewerbsvorteile und Wertschöpfungsorganisation in zwei und mehrseitigen Dienstleistungsmärkten, in: Zeitschrift Führung + Organisation (ZfO) Vol. 77, No.5, 2008: Dietl, H. M.; Royer, S.: Indirekte Netzwerkeffekte und Wertschöpfungsorganisation. Eine Untersuchung der transaktionskostentheoretischen Effizienz und strategischer Wettbewerbsvorteile am Beispiel der Videospielbranche, in: Zeitschrift für Betriebswirtschaftslehre (ZfB) Vol. 73, No. 4, 2003: Dietl, H. M., Royer, S. & Beckmann, O.C.: Die Bedeutung von Netzwerkkreuzeffekten für den Erfolg der Elektromobilität Strategische Überlegungen zu möglichen Distributionsarchitekturen, in: Zeitschrift für die gesamte Wertschöpfungskette Automobilwirtschaft (ZfaW) Vol. 16, No. 3, 2013: Dietl, H. M.; Royer, S.; Stratmann, U.: Wertschöpfungsorganisation und Differenzierungsdilemma in der Automobilindustrie, in: Schmalenbachs Zeitschrift für betriebswirtschaftliche Forschung (ZfbF), Vol. 61, Juni 2009: Dietl, H. M.: Erfolgsstrategien im Plattformwettbewerb, in: Schmalenbachs Zeitschrift für betriebswirtschaftliche Forschung (ZfbF), Vol. 62, No. 10, 2010: Eisenmann, T.; Parker, G.; van Alstyne, M. W.: Opening Platforms: How, when and why? in: Gawer, A. (Hrsg.): Platforms, markets and innovation, Cheltenham, 2009: Eisenmann, T.: Managing proprietary and shared platforms, in: California Management Review, Vol. 50, No. 4, 2008: Farrell, J.; Saloner, G.: Competition, Compatibility and Standards: The Economics of Horses, Penguins and Lemmings, in: Gabel, H. L. (Hrsg.): Product Standardization and Competitive Strategy, Amsterdam, 1987: Katz, M.; Shapiro, C.: Network externalities, competition, and compatibility, in: American Economic Review, Vol. 75, No. 3, 1985:

5 Benotung/Universität Flensburg Die Veranstaltung»Distance Learning Project on Cooperation (MIM S2 12)«bildet ein Modul im Schwerpunkt Strategy & Organisation im Masterstudiengang International Management Studies. Es handelt sich bei dem Modul MIM S2 12 um eine Veranstaltung zur Gestaltung zwischenbetrieblicher Beziehungen, im Rahmen derer nicht nur auf aktuelle Themen aus dem Bereich der Unternehmenskooperation (wie z. B. virtuelle Unternehmen oder strategische Allianzen) eingegangen wird, sondern zudem reale Kooperationserfahrung gesammelt wird: Die Studierenden arbeiten in räumlich verteilten (nationalen oder internationalen) Teams an einem gemeinsamen Projekt, und zwar unter Nutzung moderner Kommunikationsmedien wie Videokonferenzen, Internetforen, gemeinsamen Datenbanken, etc. Die Veranstaltung vermittelt den Studierenden neben der intensiven Auseinandersetzung mit wechselnden, aktuellen Themen aus dem Bereich der Unternehmenskooperation, also reale Kooperationserfahrungen in einem internationalen Kontext. Die Prüfung im Modul besteht aus der Erarbeitung und Verteidigung der gemeinsamen Seminararbeit. Die aktive Teilnahme an den Projektaktivitäten wird vorausgesetzt. Für das Modul werden 5 CP vergeben. Entsprechend geht mit dem Kurs ein Workload von 150 Stunden für die Studierenden einher, 45 Stunden sind Kontaktzeiten (2 Workshops in der gesamten Gruppe, zusätzlich Veranstaltungen an der Uni Flensburg sowie Videokonferenzen) und 105 Stunden sind für das Selbststudium bestehend aus Lektüre zur Vor und Nachbereitung der Veranstaltungen, Literaturrecherche, Ausarbeitung von Zwischenpräsentation, Auseinandersetzung mit den eingesetzten Medien, Kommunikation mit den räumlich verteilten Teammitgliedern, Treffen der Teammitglieder an den Standorten der Kooperationspartner, Erarbeitung der gemeinsamen Seminararbeit in einem internationalen Team, Präsentation und Verteidigung der Ergebnisse) vorgesehen.