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.