The Dark Side of Information and Market Efficiency in E‐Markets*

In this paper, we presented a literature review of the current status of electronic marketplace (EM) research. It consists of 109 journal articles published in 19 journals that are appropriate outlets for electronic commerce research. The results show that an increasing volume of EM research has been conducted from diverse theoretical perspectives. Based on content analysis, we identified eight research themes, five types of methodologies and six categories of background theories which most EM researches were grounded in. By combining research themes and the patterns of the background theories, an integrative framework of EM was proposed to represent the paradigms of EM researches. The framework shows that EM phenomena can be addressed from three perspectives: information systems, inter-organizational/social structure and strategic management perspectives. This framework suggests a parsimonious and cohesive way to explain key EM research issues such as EM adoption, success and impact.

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“…3. Dark side of EMs, such as easier collusion in EMs (Campbell et al 2005) and information overload (Grover et al 2006). 4.…”

Section: Em Impactmentioning

confidence: 98%

A literature review of electronic marketplace research: Themes, theories and an integrative framework

Wang

Zheng

et al. 2008

Inf Syst Front

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“…This is because information can be rich and yet remain inaccurate, distorted, or equivocal (Grover et al 2006). Furthermore, the shear volume of online information makes information overload a real problem for those inclined to do extensive information search and evaluation, despite the presence of a plethora of online decision aids that supposedly help with information filtration and condensation (Grover et al 2006). Thus, brand names still serve as information channels even in the online context because customers are more likely to trust branded products listed for sale on the Internet, resulting in limited search and evaluation.…”

Section: Benefits Of a Brand Namementioning

confidence: 98%

E-commerce: a brand name’s curse

Otim

Grover

2010

Electron Markets

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The reach of the Internet and the low cost of selling products online have made it possible for anybody to participate in the online market. In this paper, we argue that e-commerce can be a brand name's curse due to information asymmetries and the existence of indifferent consumers, which perpetuate counterfeiting of branded products and the infringement of brand names in emarkets. Counterfeiting and infringement devalue the information capital embodied in a brand name, and ultimately reduce sales and profits of the brand name holders. While legal measures have been enacted to deal with intellectual property problems, we argue that market mechanisms are more efficient and more effective in dealing with brand name problems in e-markets. This is because rules in themselves often provide neither the slightest hint of where to look for violations, nor the incentive to convict violators. Market mechanisms such as information syndication, pricing of e-markets services, and vendor malpractice could be effective in deterring counterfeiting and brand name infringement. We hope our positional contribution will stir interest to look into this serious problem and extend our suggestions by developing concrete innovative mechanisms to safeguard online transactions.

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“…Nelson's results obtained using cross-sectional data indicate that the level of price dispersion is positively related to the price of the product and the number of sellers and is lower for goods that typically would be purchased several times a year (Nelson, Cohen, & Rasmussen, 2007 conflicting information on the electronic market, price dispersion intensifies (Grover, Lim, & Ayyagari, 2006). Air carriers adopt various price strategies.…”

Section: Price Policies Of Carriers and Middlemen In The Plane Ticketmentioning

confidence: 99%

Plane Ticket Price Dispersion in the Online Selling System in Poland

Szopiński¹,

Nowacki²

2014

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Vizja Press&IT www.ce.vizja.pl 207Many authors have studied the influence exerted by tourism on the economy. Today, Information and Communication Technologies (ICT) are an important factor influencing competitiveness in the tourism sector and consumers' decision-making concerning tourism purchases. Along with the expansion of the European Union, the revolution in passenger air transportation has spread over new member states in Central and Eastern Europe, including Poland. The authors of this study analyzed ticket prices on Internet websites that aggregate offers from different carriers and on the websites managed by the carriers themselves, specifically studying offers for the most popular flight connections from F. Chopin airport in Warsaw to London, Frankfurt, Munich, and Paris. For each connection, the study examined flights operated by the Polish carrier, i.e., LOT Polish Airlines, and by a carrier originating from a destination country. The analysis of the particular coefficients illustrating the price dispersion for each flight operated by a foreign carrier in comparison to the offer from LOT Polish Airlines points to the conclusion that the tickets offered by the latter were marked by a much narrower price dispersion in contrast to the connections offered by foreign carriers on the same route. Changes on the World Market for Passenger Air TransportationAir transportation was one of the most tightly regulated sectors of the economy for many years. In effect,

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The Dark Side of Information and Market Efficiency in E‐Markets*

Cited by 60 publications

References 85 publications

A literature review of electronic marketplace research: Themes, theories and an integrative framework

A literature review of electronic marketplace research: Themes, theories and an integrative framework

E-commerce: a brand name’s curse

Plane Ticket Price Dispersion in the Online Selling System in Poland

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