The digital ecosystem is one of the

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rmsh47
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Joined: Tue Dec 24, 2024 4:42 am

The digital ecosystem is one of the

Post by rmsh47 »

The biggest problem with this business model is its complexity and dynamics. If you don’t have sellers, you will never be able to attract buyers, and if buyers can’t find sellers, you will lose buyers. Therefore, a two-sided platform must carefully expand demand and supply at the same time to attract both sides.

6. Ecosystem Model most complex, yet amazon database powerful digital business models currently available. Ecosystem orchestrators like Amazon, Alibaba, Google, Apple, Tesla, etc. leverage customers through different services on different platforms. With this knowledge and data, they can do so-called “upsells” to existing customers and attract and retain new customers because their ecosystem creates a “vendor lock-in” effect.

Just think about which services you use from companies like Google, Apple, Amazon, Alibaba, etc., and how hard it would be to leave their digital ecosystems. This lock-in effect is also a big driver of future revenue. But you don’t necessarily have to be an orchestrator of an ecosystem, maybe you are a user of the ecosystem, or you provide modules for the ecosystem. A good example of a modular provider is PayPal, which enables seamless payments across many different digital business models and ecosystems.
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