Towards Visualizing and Simulating Business Models in Dynamic Platform Ecosystems

Platform-based business models underlie the success of many of today’s largest, fastest-growing, and most disruptive companies. Despite the success of prominent examples, such as Uber and Airbnb, creating a profitable platform ecosystem presents a key challenge for many companies across all industries. Although research provides knowledge about platforms’ different value drivers (e.g., network effects), companies that seek to transform their current business model into a platform-based one lack an artifact to reduce knowledge boundaries, collaborate effectively, and cope with the complexities and dynamics of platform ecosystems. We address this challenge by developing two artifacts and combining research from variability modeling, business model dependencies, and system dynamics. This paper presents a design science research approach to develop the platform ecosystem modeling language and the platform ecosystem development tool that support researcher and practitioner by visualizing and simulating platform ecosystems.