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You have to know microeconomics in order to get into the class. The class is a five-week, case-based course offered six times each school year. That strength comes with a downside, of course-in public-policy terms, from the consolidation of corporate power and the importance of antitrust, but that’s the subject of a different class. We look at how a two-sided platform can often be much stronger than a one-sided business that’s doing similar things-for example, when Uber displaced taxis and when the Apple iPhone with its app store displaced BlackBerry. The economics are identical, and it’s neat to see how similar the business decisions of newspapers in 1920 were to Pandora or Facebook in 2021.ĭigital platforms started in the late 1990s, and they are only getting more common and more powerful every year. The economics and strategy for these businesses have key things in common. There are a lot of multisided platform businesses that predate the internet, like newspapers and credit cards. Platforms are businesses with at least two different sides of customers-for example, consumers who buy your product and the advertisers who pay you to reach those consumers-and one side cares about the other side.
One theme in my class is that platforms are about economics, not just about the internet. The response has been better than I ever imagined, and the whole thing is great fun. It was among the students’ favorite parts and it was fun to teach, so five years ago I decided to try making a whole class on that topic. So it evolved into a class about internet business strategy with a heavy dose of public policy.Ī couple weeks of that course were about platforms.
Over time, they were mostly interested in the media and tech, and then just the tech. At the beginning, students were interested in all three. The Class: Platform Competitionįor many years in the 1990s and 2000s, I taught a class on telecom, media, and technology. Gwinn Professor of Economics and former chairman of the Council of Economic Advisers.
#How to use mac laptop master class how to
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