How technological change affects power relations in global markets : remote developers in the console and mobile games industry

Parker, Rachel L., Cox, Stephen D., & Thompson, Paul (2014) How technological change affects power relations in global markets : remote developers in the console and mobile games industry. Environment and Planning A, 46(1), pp. 168-185.

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Abstract

This paper focuses on Australian development firms in the console and mobile games industry in order to understand how small firms in a geographically remote and marginal position in the global industry are able to relate to global firms and capture revenue share. This paper shows that, while technological change in the games industry has resulted in the emergence of new industry segments based on transactional rather than relational forms of economic coordination, in which we might therefore expect less asymmetrical power relations, lead firms retain a position of power in the global games entertainment industry relative to remote developers. This has been possible because lead firms in the emerging mobile devices market have developed and sustained bottlenecks in their segment of the industry through platform competition and the development of an intensely competitive ecosystem of developers. Our research shows the critical role of platform competition and bottlenecks in influencing power asymmetries within global markets.

Impact and interest:

1 citations in Scopus
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4 citations in Web of Science®

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ID Code: 66898
Item Type: Journal Article
Refereed: Yes
Keywords: Global Value Chains, Market Power, Platform Competition, Standards Competition, Small and Medium-sized Enterprises
DOI: 10.1068/a45663
ISSN: 0308-518X
Subjects: Australian and New Zealand Standard Research Classification > COMMERCE MANAGEMENT TOURISM AND SERVICES (150000) > BUSINESS AND MANAGEMENT (150300) > Innovation and Technology Management (150307)
Australian and New Zealand Standard Research Classification > COMMERCE MANAGEMENT TOURISM AND SERVICES (150000) > BUSINESS AND MANAGEMENT (150300) > International Business (150308)
Divisions: Current > QUT Faculties and Divisions > QUT Business School
Current > Schools > School of Management
Deposited On: 05 Feb 2014 00:13
Last Modified: 04 Mar 2014 00:22

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