DIGITAL PLATFORM ECOSYSTEMS AS A FACTOR OF BUSINESS TRANSFORMATION WITHIN DIGITAL ECONOMY FRAMEWORK

Abstract

The review of scholarly literature, analytical centers and international organizations reports evidence the growing role of digital platforms in transformation of business models of the past, shaping major trends in the digital economy development and relationships with various economic actors. However, the use of big data and the network effect poses serious risks to the existence of non-digital companies enhancing the relevance of the research on the factors and methods of platform influence upon the transformation of economic relations in Ukraine. The research methodology employed such general scientific methods as analysis and synthesis, analogy, logical and systemic approaches, and grouping. The study reveals the essence of digital platforms as the disruptors of classic business models. The key factors that allow digital platforms to capture market niches quickly are identified. Among them are active use of big data, algorithm development, network effects, cash flow from small transactions, evasion of rules and conditions, elimination of redundant actions and mediation, impeccable customer experience and the network leverage effect. The prerequisite for the platform transformational success is generating a new value to customers through financial savings, new experience and opportunities to participate in the creation of personal products and services. The study provides insights on the nature, structure, characteristics and models of digital platform ecosystems. It is argued that the most successful platforms build ecosystems that bring together companies, capital, communities, networks, people, data analysis and technology to create “disruptive” business models that might be a potential threat to the “survival” of non-digital businesses and the source of imbalance to the established economic order. Thus, a factor of “creative destruction” contributes to the emergence of new sources of economic growth. The complexity of identifying the effect from the development of digital platforms ecosystems offers implications for setting further research areas.