Identity Projection Strategies for Non-Focal Actors in Digital Ecosystems

Abstract

In digital ecosystems, non-focal actors cannot survive without working on the identity of their apps. The identity expresses what the app is about to customers. However, it also projects an image of the role of the non-focal actor in the larger ecosystem. Such identity projection is relevant for managing the relationship with focal actors of the digital ecosystem. We outline and test three strategies for identity projection (identity conformity, identity differentiation, and identity refinement). Using panel data of social networking applications in the iOS appStore in China between 2014 and 2019, we investigate the influence of non-focal actors’ identity projection on their survival in digital ecosystems. Our result shows significantly increased app survival for those who actively pursue the identity projection strategies in three directions. Thus, we shed light on the role of platform identity in navigating platform competition in the digital age when participation across ecosystems becomes compulsory for every digital business.