Reference NORTE-01-0145-FEDER-028540 . This research project investigates the economic and business effects of new generation digital technologies. It intends to examine the strategic and welfare effects of mass customization; behaviour-based quality differentiation; targeted products, ads and prices; and technological interoperability barriers limiting the implementation of the mass customization paradigm. It also focuses on business model innovation within the platform economy, comparing alternative market designs for digital platforms (e.g. marketplace versus reselling) and investigating how digital platforms can use Big Data to successfully implement discriminatory pricing schemes. The theoretical findings will then be used to perform an empirical study on the dynamics emerging in the Portuguese fashion industry. Finally, the project will promote the creation of an independent observatory for Industry 4.0 to bring together different stakeholders interested in the digital challenges/ opportunities in new industrial ecosystems