Vertical Integration of Digital Platforms in the Agricultural Industry

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Abstract

Vertical integration is a strategic option for a company that aims to have direct control over its value chain. With regards to digital platforms, vertical integration as a strategy is, to an extent, paradoxical, since platforms’ operating models are largely based on external actors with whom the platform owners have only an arm’s-length relationship. Many large digital platform companies have pursued vertical integration and research has been conducted on the subject, yet it is often industry-agnostic and focuses on large digital platform companies. We sought to identify the vertical integration strategies of digital platforms in the agricultural industry, as well as understand the firm- and industry-level drivers behind them. The results showed that these drivers impact vertical integration of digital platforms, which occurs along the value chain of a platform’s user groups and not solely along that of the platform. Furthermore, digitalization and data open new avenues for vertical integration.
Original languageEnglish
Title of host publicationProceedings of the 55th Hawaii International Conference on System Sciences
Number of pages10
ISBN (Electronic)978-0-9981331-5-7
DOIs
Publication statusPublished - 2022
MoE publication typeA4 Article in a conference publication
EventAnnual Hawaii International Conference on System Sciences - Manoa, United States
Duration: 4 Jan 20227 Jan 2022
Conference number: 55

Publication series

NameProceedings of the Annual Hawaii International Conference on System Sciences
ISSN (Print)1530-1605
ISSN (Electronic)2572-6862

Conference

ConferenceAnnual Hawaii International Conference on System Sciences
Abbreviated titleHICSS
Country/TerritoryUnited States
CityManoa
Period04/01/202207/01/2022

Keywords

  • Managing the Dynamics of Platforms and Ecosystems
  • agriculture industry
  • digital platforms
  • strategy
  • vertical integration

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