Review article
https://doi.org/10.38190/ope.13.1-2.11
Analysis of the impact of the Covid 19 pandemic on the financial efficiency of the Shopify platform
Joško Lozić
orcid.org/0000-0001-5568-5279
; University North
Katerina Fotova Čiković
orcid.org/0000-0003-0138-1362
; University North
Ines Lozić
; Centar za financijska vještačenja
Abstract
The aim of this paper is to research and analyse the impact of the Covid 19 pandemic on the financial efficiency of the Shopify platform. The platform is interesting for this type of research because it gathers a user community of entrepreneurs who have their own business ventures on the platform. In the analysis of financial efficiency, only financial indicators related to the operation of the platform as an infrastructure are included. The results of the research showed that the platform performed positively during the pandemic, which differs from global economic indicators in other industries, but also in industries related to the platform economy. Positive financial trends did not continue in the last analysed period, and operating profit and net profit returned to negative trends, as before the start of the pandemic. Despite the significant growth in the number of platform infrastructure users in the last analysed period, there was a lack of financial efficiency, which implies that revenues are burdened by different types of costs related to platform maintenance, and not by the number of infrastructure users and their business results.
Keywords
platform economy; online retail; entrepreneurship; Shopify; zero marginal cost
Hrčak ID:
312761
URI
Publication date:
30.12.2023.
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