ECIN Replication Package for "Global Digital Platforms, Technology Transfer and FDI Policies in Two-Sided Markets"

Code and data for the paper titled: "Global Digital Platforms, Technology Transfer and FDI Policies in
Two-Sided Markets". <br>This paper examines the preferences of a
foreign firm and a host country government over two modes of FDI in two-sided
markets: de novo entry (through the establishment of a new platform) and
acquisition of the domestic incumbent platform. Technology transfer, cross-side
network externalities and platform service differentiation determine the
ranking of the host country welfare gains and the entrant’s profits under the
two entry modes. In the case where the foreign entrant and the host government
disagree over the entry modes ranking, asymmetric foreign equity restrictions
can induce the welfare-optimal choice of the entry mode by the foreign firm.