DIGITAL BUSINESS ECOSYSTEMS AS A SPECIFIC FORM FOR ECONOMIC ACTIVITIES COORDINATION IN THE DIGITAL ECONOMY
Abstract
The article investigates digital business ecosystems as a coordination mechanism for the digital sector at the current stage of development of technology sector companies. It deals with two approaches to the study of ecosystems in business: ecosystem-as-affiliation and ecosystem-as-structure. We have found that economic ecosystems arise due to the development of enterprises, industry convergence, and the influence of information and communication technologies. Ecosystems can also be the result of a deliberately chosen strategy for building value for the consumer. As a specific form of economic activity coordination, ecosystems differ from those that arose in the pre-digital era (for example, vertical integration, hierarchical supply chain, and open market model). They have several characteristics for differentiation among the rest of the coordination mechanisms of economic activity. Servitization, network effects, the inverted firm paradigm, cooperation, modularity, customization, and multilateralism in a complex distinguish ecosystems from the rest of the coordination mechanisms of economic activity today. It is also essential to distinguish between a digital platform and a digital business ecosystem. The digital platform is a multi-sided market that unites different groups of users. Instead, a digital business ecosystem can unite two or more multi-sided markets. It specifies the ecosystems' borders' indeterminacy and their flexible and complex structure. Approaches to interpreting the concept of a digital business ecosystem are analyzed. We have identified criteria for classifying digital business ecosystems, although they are only partial for the current stage. The criteria are the model of consumer value formation, the approach to building the ecosystem, the direction of scaling the ecosystem's essential product, and the degree of ecosystem openness. Digital business ecosystems are gaining particular importance from a practical point of view because, in today's conditions, companies from various sectors of the economy seek to use external resources to meet customers' growing needs.
References
Kindler A., Siegel D., Paulsen J. H. Developing digital ecosystems that drive industry alignment and new business opportunities. URL: https://www2.deloitte.com/content/dam/Deloitte/de/Documents/legal/Deloitte-Digital-Ecosystems.pdf (дата звернення: 11.11.2022)
Tech highlights from 2022 — in eight charts. URL: https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/tech-highlights-from-2022-in-eight-charts (дата звернення: 10.11.2022)
Chung, V., Dietz, M., Rab, I., & Townsend, Z. Ecosystem 2.0: Climbing to the next level. McKinsey Quarterly. 2020. September. URL: https://mckinsey.com/business-functions/mckinsey-digital/our-insights/ecosystem-2-point-0-climbing-to-the-next-level. (дата звернення: 11.11.2022)
Fletcher, A. Big Tech: how can we promote competition in digital platform markets? 16 Jun. 2021. URL: https://www.economicsobservatory.com/big-tech-how-can-we-promote-competition-in-digital-platform-markets (дата звернення: 11.11.2022)
Moore, J. F. Predators and prey: a new ecology of competition. Harvard business review. 1993. Vol. 71. No 3. P. 75-86.
Nachira, F., Nicolai, A., Dini, P., Le Louarn, M., & León, L. R. Digital business ecosystems. European Commission. 2007. 238 p. URL: http://www.digital-ecosystems.org/dbe-book-2007 (дата звернення: 10.11.2022)
Hung Le Hong How Ecosystems Will Dominate Our Digital Future // Gartner IT Symposium / Xpo 2019, Barcelona. URL: https://kpc-group.cz/blog/gartner-it-symposium-xpo-2019-barcelona-pondelni-shrnuti (дата звернення: 11.11.2022)
Adner, R. Ecosystem as structure: an actionable construct for strategy. Journal of Management. 2017.Vol. 43 No. 1. P. 39-58.
Jacobides, M. G. In the Ecosystem Economy, What’s Your Strategy? Harvard Business Review. 2019. № 97 (5). P. 128-137. URL: https://hbr.org/2019/09/in-the-ecosystem-economy-whats-your-strategy (дата звернення: 11.11.2022)
Jacobides M. G., Sundararajan A., Van Alstyne M. Platforms and ecosystems: Enabling the digital economy. World Economic Forum Briefing Paper. World Economic Forum: Switzerland. 2019. 32 p.
Koch, M., Krohmer, D., Naab, M., Rost, D., Trapp, M. A matter of definition: criteria for digital ecosystems. Digital Business. 2022. Vol. 2. No 2. DOI: https://doi.org/10.1016/j.digbus.2022.100027 (дата звернення: 10.11.2022)
Pidun U., Reeves M., Schüssler M. Do You Need a Business Ecosystem? // BCG Henderson Institute URL: https://www.bcg.com/publications/2019/do-you-need-business-ecosystem (дата звернення: 11.11.2022)
Moore, J. F. Business Ecosystems and the View from the Firm. The Antitrust Bulletin. 2006. Vol.51. No. 3, P. 31–75. URL: https://pdfslide.net/reader/f/moore-business-ecosystems (дата звернення: 20.11.2022).
Parker G. G., Van Alstyne M. W., Choudary S. P. Platform revolution: How networked markets are transforming the economy and how to make them work for you. WW Norton & Company, 2016. 352 P.
Reeves, M., Levin S., Daichi U. The Biology of Corporate Survival. Harvard Business Review. 2016. Vol. 94(1). No 2. P. 48-55. URL: https://hbr.org/2016/01/the-biology-of-corporate-survival (дата звернення: 10.11.2022)
Kindler A., Siegel D., Paulsen J. H. Developing digital ecosystems that drive industry alignment and new business opportunities Available at: https://www2.deloitte.com/content/dam/Deloitte/de/Documents/legal/Deloitte-Digital-Ecosystems.pdf (accessed 11 November 2022).
Tech highlights from 2022 — in eight charts. Available at: https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/tech-highlights-from-2022-in-eight-charts (accessed 10 November 2022)
Chung, V., Dietz, M., Rab, I., & Townsend, Z. (2020). Ecosystem 2.0: Climbing to the next level. McKinsey Quarterly, September. Available at: https://mckinsey.com/business-functions/mckinsey-digital/our-insights/ecosystem-2-point-0-climbing-to-the-next-level (accessed 10 November 2022).
Fletcher, A. (2021). Big Tech: how can we promote competition in digital platform markets? Available at: https://www.economicsobservatory.com/big-tech-how-can-we-promote-competition-in-digital-platform-markets (accessed 11 November 2022)
Moore, J. F. (1993). Predators and prey: a new ecology of competition. Harvard business review, 71(3), pp. 75-86.
Nachira, F., Nicolai, A., Dini, P., Le Louarn, M., & León, L. R. (2007). Digital business ecosystems. European Commission, 215. 238 p. Available at: http://www.digital-ecosystems.org/dbe-book-2007 (accessed 10 November 2022).
Hung Le Hong How Ecosystems Will Dominate Our Digital Future // Gartner IT Symposium / Xpo 2019, Barcelona. Available at: https://kpc-group.cz/blog/gartner-it-symposium-xpo-2019-barcelona-pondelni-shrnuti (accessed 11 November 2022).
Adner, R. (2017) Ecosystem as structure: an actionable construct for strategy. Journal of Management, vol. 43, no. 1, pp. 39-58.
Jacobides, M G (2019) In the Ecosystem Economy, What’s Your Strategy? Harvard Business Review, vol. 97, no 5, pp. 128-137. Available at: https://hbr.org/2019/09/in-the-ecosystem-economy-whats-your-strategy (accessed 11 November 2022).
Jacobides, M. G., Sundararajan, A., & Van Alstyne, M. (2019, February). Platforms and ecosystems: Enabling the digital economy. In World Economic Forum Briefing Paper. World Economic Forum: Switzerland. Geneva 32 p.
Koch, M., Krohmer, D., Naab, M., Rost, D., Trapp, M. (2022). A matter of definition: criteria for digital ecosystems. Digital Business 2 (2), 100027 (2022). DOI: https://doi.org/10.1016/j.digbus.2022.100027 (accessed 10 November 2022).
Pidun U., Reeves M., Schüssler M. Do You Need a Business Ecosystem? // BCG Henderson Institute. Available at: https://www.bcg.com/publications/2019/do-you-need-business-ecosystem (accessed 11 November 2022).
Moore, J. F. (2006). Business Ecosystems and the View from the Firm. The Antitrust Bulletin, vol.51, no. 3, pp. 31–75. Available at: https://pdfslide.net/reader/f/moore-business-ecosystems (accessed 20 November 2022).
Parker, G. G., Van Alstyne, M. W., & Choudary, S. P. (2016). Platform revolution: How networked markets are transforming the economy and how to make them work for you. WW Norton & Company.
Reeves, M., Levin, S., & Ueda, D. (2016). The biology of corporate survival. Harvard Business Review, vol. 94(1), no. 2, pp. 48-55 Available at: https://hbr.org/2016/01/the-biology-of-corporate-survival (accessed 10 November 2022).
