People in the software and technology business are familiar with the concept of platform and software platform. However, a platform does not necessary need to be a software or hardware plaform think of the credit card industry.

David Evans and Richard Schmalensee have written the Catalyst Code: The Strategies Behind the World’s Most Dynamic Companies to explain what drives the success of a catalyst and how different strategies may lead to a success or a failure.

Essentially, a catalyst helps different parties (that need each other) get together, it facilitates the search and reduces the transaction costs. Think of, for example, of Google advertising model which brings together advertisers and users through the search engine. Users use the search engine for free, but the advertisers pay to display ads to the right consumers.

The same authors of the Catalyst Code together with Andrei Hagiu have written Invisible Engines: How Software Platforms Drive Innovation and Transform Industries.