China’s Online Game Market Competition

China"s online game has some similarities with Korean online game. Both have the characteristics of two-sided market with low switching costs. This paper analyzes the various effects on platform revenue share of China"s online game platform with two-sided markets when game players can engage in multi-homing. We also want to see the impact of Korean game contents (so called Hallyu) on China"s online game platform competition. By performing panel data analysis from 2008Q1 to 2014Q3 in China, we found that the variety of platform contents has significantly positive effect on platform revenue share of China online game market. Due to the characteristics of China online game market, the number of games can be played on the platform had uncertain effect on platform revenue share. Contrary to previous empirical analysis in the network literature, the effect of platform age on platform market share was not significantly positive. Finally, Korean game contents have positive impacts on platform market share, and this impact gets higher as the age of Korean game becomes older. However, non-Korean foreign game"s moderation impact was opposite.