two-sided market

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Two-sided market

A market in which both bid and asked prices, good for the standard unit of trading, are quoted. When customers or market makers are lined up on both sides (buy and sell) of a stock.

Two-Way Market

A market for a security where both an open bid and an open ask are quoted. This indicates that there are both willing buyers and sellers for the security, though their prices may not be the same. While a two-way market is not necessarily liquid, it is by definition more liquid than a one-way market, where there is either no willing buyer or no willing seller currently available. It is also called a two-sided market.

two-sided market

The market for a security in which a bid price and an ask price are both quoted. Also called two-way market. Compare one-sided market.
References in periodicals archive ?
It isn't the first time that the notions of platform and the two-sided market have been discussed in this journal.
A two-sided market has two groups and each forms its own network.
This is possible because 1) the ASP is a two-sided market, 2) the evaluation of the performance does not underlie an objectively measurable benchmark, and 3) sponsors (advertisement market) are interested in the audience and the outcome of the event.
Unlike a retail middleman, the two-sided market links the creator and consumer directly.
We then provide a simple two-sided market model, based on the work of Rochet and Tirole (2011), to assess the regulation's implications on payments efficiency.
Efficient pricing in a two-sided market, therefore, requires balancing the prices charged to different participants.
Does Two-Sided Market Analysis Apply to Broadband Service
First, we present a mathematical model for a general search engine two-sided market.
Culture minister Ed Vaizey said last month that he supported "evolution of a two-sided market where consumers and content providers could choose to pay for differing levels of quality of service.
Communications minister Ed Vaizey told a London conference in November that the Government had to encourage experimentation with business models including "the evolution of a two-sided market where consumers and content providers could choose to pay for differing levels of quality of service".
Rochet and Tirole define a two-sided market as a market in which end-users are unable to negotiate prices based on costs to participate on a platform and the price structure affects the total volume of transactions; see Jean-Charles Rochet and Jean Tirole, 2006, "Two-sided markets: A progress report," RAND Journal of Economics, Vol.
Such multi-sided service markets are found when a two-sided market generates attention, which can be sold to advertisers as a side product.