Who Captures Value in Digital Services?

Abstract

In this study, we explore who creates and captures value in digital services by analyzing four such services. Our results show that there are notable variations in both value creation and value capture between the services. Similar variations are also observed in the geographical distribution of value added. The study also highlights variations in economies of scale in digital services. In some services, there are almost no variable costs, and hence, the economies of scale are very high. In other services, the economies of scale are significantly smaller. The difference in economies of scale between services partially arises because a physical product is delivered in conjunction with the digital service for some services.

Information om publikationen

Serie
ETLA Muistio - ETLA Brief 27
Datum
18.06.2014
ISSN
2323-2463
Sidor
8
Språk
Engelska