The Dynamics of Platform Ecosystem: An Agent-Based Simulation of a Semi-conductor Company
DOI:
https://doi.org/10.54097/76cy5481Keywords:
Platform Ecosystem, Semiconductor Company, Agent-Based Simulation.Abstract
In recent years, the platform ecosystem has emerged as a pivotal construct influencing the strategic decision-making processes of modern businesses, particularly in high-tech sectors. Leveraging the case of a leading semiconductor company, this study delves into the intricate dynamics governing platform ecosystems. Through an agent-based simulation, the study showcases how individual agents (customers) interact with the platform based on the quality of products and the frequency of service upgrades. The simulation results elucidate the significance of maintaining high product quality and ensuring regular service upgrades in bolstering the company's position within the semiconductor platform ecosystem. Further, the study offers insights into how network effects, catalyzed by these two critical factors, lead to a sustainable competitive advantage in a rapidly evolving market landscape. These findings not only present a nuanced understanding of platform ecosystem dynamics for semiconductor companies but also offer strategic imperatives for businesses operating in similar high-tech environments.
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