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Title:      MODELLING B2B E-MARKETPLACES: THE ROLE OF INTERMEDIARIES
Author(s):      Markos Kourgiantakis , Emmanuel Petrakis
ISBN:      972-8924-23-2
Editors:      Sandeep Krishnamurthy and Pedro Isaías
Year:      2006
Edition:      Single
Keywords:      e-marketplaces, B2B, intermediary, pricing behaviour.
Type:      Full Paper
First Page:      207
Last Page:      214
Language:      English
Cover:      cover          
Full Contents:      click to dowload Download
Paper Abstract:      The bulk of the theoretical literature in e-commerce assumes that the owner of an e-marketplace extracts rents through the membership (entrance) fees from suppliers and buyers. We rather assume that the intermediary also charges commission fees over the quantities that are sold through the electronic platform. We investigate this more realistic business model from intermediary’s point of view, under different conditions in B2B two-sided markets. In an e-marketplace where all participants act strategically, our analysis suggests that the intermediary’s optimal pricing behaviour can always include membership fees and commissions for both sides of the market.
   

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