Digital Platform as One of the Dominant Business Models of Digital Economy

Abstract

The article presents a theoretical overview of a new phenomenon of digital platforms in the modern economy that represent new opportunities for business development and a completely new quality of life for their users within digital technologies. The key limits of linking to a physical place and the role of technologies in overcoming these limits are revealed. The main problems that are specific for creating the platform, as well as differences between platforms and traditional markets are described; moreover, the examples of applying platforms before the digital era, when bilateral markets were institutionalized. It is shown that the excessively high growth rate of the platform business (compared to traditional business) is explained by the fact that the platform uses new sources — resources that don’t belong to them. As a result, it is confirmed that business data is the key value on the platform. The article also analyzes changes in business management practices as a result of business focus changes from internal to external orientation; interpretation of typical platforms and their functions are given. It has been found that the use of basic transactions and functions creates networks, markets and communities around it. It has been stated that the worlds’ top capitalization companies, which are two-way platforms, achieve their goals by saving on consumption growth, achieved through technological advances on consumption needs and manifest themselves in real effects.