Ridehailing service strategies under aggregation platform mode
DOI:
Author:
Affiliation:

Clc Number:

Fund Project:

  • Article
  • |
  • Figures
  • |
  • Metrics
  • |
  • Reference
  • |
  • Related
  • |
  • Cited by
  • |
  • Materials
  • |
  • Comments
    Abstract:

    Recently, more and more ridehailing platforms are being aggregated into thirdparty platforms, thus creating an aggregation mode. How to achieve the strategic switch is an important issue for ridehailing platforms under the aggregation mode. Considering a comprehensive ridehailing platform that offers both premium and standard services, this paper studies the optimal service strategy and pricing for such a platform. The effects of different service strategies on the pricing and profits of both the standard platform (i.e., one that only provides standard service) and the aggregated platform are examined. By comparing the equilibrium outcomes in the two decision scenarios, it is found that when the brand advantage of the comprehensive ridehailing platform is significant (i.e., a low acceptance degree for the general platform) and the service cost is low, the platform will adopt a premium service strategy. Conversely, it will forgo the standard service when the advantage weakens. However, when the consumers’ acceptance degree for the general ridehailing platform is low, the premium service strategy will harm the general platform. As the consumers’ acceptance degree increases, the general ridehaling platform will benefit from the premium service, while the aggregation platform can obtain higher profits from standard service. This result shows that the winwin situation for all parties involved might only occur when the comprehensive platform provides standard services. This conclusion provides a good theoretical guide for the cooperation between the traditional ridehailing platform and aggregation platform.

    Reference
    Related
    Cited by
Get Citation
Share
Article Metrics
  • Abstract:
  • PDF:
  • HTML:
  • Cited by:
History
  • Received:
  • Revised:
  • Adopted:
  • Online: November 11,2024
  • Published:
You are the th visitor Address:Room 908, Building A, 25th Teaching Building, Tianjin University, 92 Weijin Road, Nankai District, Tianjin Postcode:300072
Telephone:022-27403197 Email:jmsc@tju.edu.cn