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The internationalisation of platform-based businesses – the case of GAFAM

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Odrobina A.

Central European Review of Economics & Finance

2023

vol. 43

issue 2

17-36

The platform-based business model is indicated as the ‘winning’ one in the days of the digitisation of businesses. Such a platform constitutes a digital infrastructure bringing together various groups of users, whereas the platform owner provides facilities for establishing multi-sided relationships and interactions through the platform both within and between such groups. The platform generates the formation of a network of interactions between users and the operator of the business model seeks methods for and ways of monetising such interactions and data by organising the processing of data and the use of interactions. It has stimulated the spectacular development of the GAFAM corporations, the global IT giants and leaders. The paper aims to examine the process of the internationalisation of corporations relying on platformisation and to determine whether platformisation influence the internationalisation of economic activities. As demonstrated by the research carried out, despite their global operations, the digital corporations in question, GAFAM, have not internationalised as the process is traditionally understood; instead, they have been able to effectively operate on a global scale without expanding their foreign assets or foreign employment. It has created entirely new drivers towards decelerating globalisation as businesses relying on platforms and digitisation continue to grow.

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1 Central European Review of Economics & Finance

1 Odrobina A.

1 2023

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The internationalisation of platform-based businesses – the case of GAFAM