Research Summary

Ⅰ. What is the Platform Economy?

• In economics, platforms are described as two-sided markets generated through network effects, with the characteristic of evolving through the solidification of cross-network effects. 
• The essence of the platform economy lies in decoupling weak parts of the consumer value chain rather than technological advancements, and value creation is orchestrated through resource orchestration.
• The platform economy has accelerated its development, particularly under the context of the Fourth Industrial Revolution, focusing on five key technologies: IoT, AI, cloud computing, 5G, and blockchain. 
• It has expanded into all sectors of the service industry from the IT sector and is exhibiting faster growth than traditional linear businesses. 
• The spread of the platform economy has accelerated further, particularly since the onset of the COVID-19 pandemic, with increased demand for contactless services, among other factors.

Ⅱ. Dissemination of the Platform Economy in the Tourism Industry

• Despite crises like the pandemic, continuous growth is anticipated in the global tourism industry, albeit with slow growth in South Korea due to its vulnerable industrial structure compared to its tourism competitiveness.
• Active nurturing of the tourism industry is necessary for economic growth and national status enhancement, with platforms playing a crucial role in this nurturing. 
• The influence of platforms in the global tourism industry is gradually expanding, particularly with aggressive mergers and acquisitions among global OTAs. Examining the usage of tourism platforms in China, there's a dominance of local platforms due to policies favoring domestic networks.
• In Japan, while offline travel agencies still hold strength, the influence of global OTAs in the accommodation sector is steadily increasing.
• In the United States, the usage of global OTAs such as Expedia and Booking.com is strong within the country, serving as the starting point for global OTAs.
• Other countries with active local platforms include India, Indonesia, and Kazakhstan, mostly situated in the Asia-Pacific region.
• In South Korea, there's a proliferation of tourism platforms from both demand and supply perspectives, with online platform transactions expanding their share.

Ⅲ. Impact of the Platform Economy Dissemination on the Tourism Industry

• The spread of the platform economy acts as various catalysts for changes in the tourism industry, including the activation of personalized tourism, the creation of new collaborative and competitive relationships, and the promotion of inbound tourism. 
• The social contribution effects of platforms in the tourism market can be analyzed through four scenarios based on competition and market expansion effects, according to Rochet & Tirole (2003). 
• The analysis suggests that the scenario generating the most social surplus is the competition II model, where platform companies, unless seeking excessive profits, create more welfare than an ideal social planner model.

Ⅳ. Nurturing the Tourism Industry Utilizing Platforms

• (Enhancing the Role of Platforms within the Tourism Industry) Maximizing the social welfare enhancement effect of platforms occurs when platforms do not pursue excessive profits. Creating a fair trading environment is necessary to achieve this.
• (Clear Recognition of Public Platform Limits and Clarification of Backward Industry Roles) Despite extensive expansion, public platforms require clarification of their roles as backward industries due to various operational limitations such as infrastructure development.
• (Development of Regional Balanced Growth and Increase in Self-Employment Income) The role of platforms is crucial in resolving the bias towards tourist areas, contributing to increased profits through operational efficiency utilizing platforms.
• (Enhancement of Tourism Industry Value Added through Integration with K-Contents) Leveraging the growing influence of Korean culture, utilizing platforms to attract inbound tourists proves effective in enhancing the value added to the tourism industry.