Marketplace Dynamical Systems
The side participation dynamics of a marketplace can be assimilable to a dynamical system like the lokta-Volterra dynamics. An equilibrium between the number of participants for each side should be taken for the marketplace to be stable.
If there are so many suppliers, the supply catalog is so overfilled that the buyers lose their ability to filter all the mass of information for choosing the supplier who fits their needs. In such a situation, the marketplace team should invest in filtering technologies but the filtering process can frustrate some suppliers and make them quit the marketplace following the part of the demand side who already quitted due to the supply side overpopulation. This situation is what exploit niche marketplaces. There is smart equilibrium decision that the marketplace team must take in order to keep the marketplace clean and stable and experience for each side optimal. This equilibrium dynamics can be studied and planned during the marketplace pre-launch or early-stage moment. if you have data about your marketplace take the time to do such kind of simulation. You may need some mathematical background about dynamical systems. Here is a simple graph about this dynamic.
It can be a very fun science moment for you and there is always someone on the internet who can help you because the internet is a marketplace of support. A marketplace like this
