Do Markets Prefer Open or Proprietary Standards for XML Standardization? - An Event Study investigates the market value of standardization initiatives, based on a variety of XML schema standards.
Proprietary standardization seeks to increase a firm’s market share (pie sharing).
Open standardization seeks to increase the size of the market (pie expansion).
The results show that financial markets respond positively to announcements of proprietary XML schema standardization, but not to those of open XML schema standardization.How encouraging.