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Understanding how platform modularity enhances network effects
Electronic Markets ( IF 6.017 ) Pub Date : 2023-08-05 , DOI: 10.1007/s12525-023-00660-5
Qizhi Dai

With modular architecture, digital platforms comprise decomposable modules and well-defined interfaces that provide the technical capabilities for reconfiguring, extending, and evolving products. Drawing on research in engineering design and industrial economics, we investigate how the architectural modularity of platforms can be employed to enhance network effects. We illustrate how the structural elements and capabilities of modular architecture can be leveraged to strengthen network effects and how the objective of scaling platforms can drive the formulation of modularization principles to define modules and interfaces. We then discuss Microsoft Power BI, a business intelligence platform, as a specific example and describe how the components and functions of Power BI are utilized to strengthen network effects. Our study highlights the interplay between platform architecture and network effects, showing how architectural modularity can lead to network growth. It contributes to research on digital platforms and digital product innovation.



中文翻译:

了解平台模块化如何增强网络效应

采用模块化架构,数字平台由可分解的模块和定义明确的接口组成,为重新配置、扩展和发展产品提供技术能力。借助工程设计和产业经济学的研究,我们研究了如何利用平台的架构模块化来增强网络效应。我们说明了如何利用模块化架构的结构元素和功能来增强网络效应,以及扩展平台的目标如何推动模块化原则的制定以定义模块和接口。然后我们以商业智能平台Microsoft Power BI为例,描述如何利用Power BI的组件和功能来增强网络效应。我们的研究强调了平台架构和网络效应之间的相互作用,展示了架构模块化如何导致网络增长。它有助于数字平台和数字产品创新的研究。

更新日期:2023-08-06
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