Airline reservations systems: lessons from history
MIS Quarterly
A strategic analysis of electronic marketplaces
MIS Quarterly - Special issue on the strategic use of information systems
Paradigm shift: the new promise of information technology
Paradigm shift: the new promise of information technology
Electronic markets and electronic hierarchies
Communications of the ACM
Do electronic marketplaces lower the price of goods?
Communications of the ACM
An emerging model of Web site design for marketing
Communications of the ACM
The emerging role of electronic marketplaces on the Internet
Communications of the ACM
Reducing buyer search costs: implications for electronic marketplaces
Management Science - Special issue: Frontier research on information systems and economics
Road Ahead
Corporation of the 1990s: Information Technology and Organizational Transformation
Corporation of the 1990s: Information Technology and Organizational Transformation
Information Technology and Management
Bundling and Competition on the Internet
Marketing Science
HICSS '96 Proceedings of the 29th Hawaii International Conference on System Sciences Volume 4: Organizational Systems and Technology
Intermediation and electronic markets: aggregation and pricing in internet commerce
Intermediation and electronic markets: aggregation and pricing in internet commerce
Frictionless Commerce? A Comparison of Internet and Conventional Retailers
Management Science
Impacts of the electronic marketplace on transaction cost and market structure
International Journal of Electronic Commerce - Special section: Diversity in electronic commerce research
An exploratory study of the emerging role of electronic intermediaries
International Journal of Electronic Commerce
| Hi-index | 0.00 |
The paper examines business models utilizing three different market mechanisms on the Internet: direct search, broker, and dealer. Utilizing capital markets and information theory to compare the business models, the research looks at specific market mechanisms instantiated in PriceScan, NetMarket, and Bottom Dollar. The web sites supporting the market structures were also evaluated on trust mechanisms, reputational ratings, information quality, availability, speed, and liquidity. Twenty standard, consumer products offered through these markets were evaluated over a three-month period examining pricing, availability, and speed of response.There were significant differences across the three models. Direct search and broker models had the highest availability and quickest response. Brokers made the greatest use of trust mechanisms. Direct search and dealers offered the greatest liquidity. Information quality was the highest in the dealer, with strong market, price movement, and product information. Lowest overall prices were consistently evident in the direct search. Allocational efficiency was difficult to determine, but an evaluation of the earlier efficiencies suggests that in situations where consistent market availability is not required, overall the direct search model is the most allocationally efficient. In situations requiring immediate market availability, the broker model appears to be the most allocationally efficient with quick response, competitive prices, and good information quality.The paper extends earlier work in business models and market efficiencies by comparing specific instantiations of the models and developing definitions for and a typology of efficiencies based on capital markets theory. In addition, the paper includes technical and qualitative analysis of Web sites supporting the business models.