The Future of e-Markets: Multidimensional Market Mechanisms

by Martin Bichler

• ISBN13: 9780521801287
• ISBN10: 0521801281
• Format: Hardcover
• Copyright: 2001-07-02
• Publisher: Cambridge University Press

Summary

Multidimensional auction mechanisms is the new pricing model for e-business. By 2002 Business-to-business Internet auctions are estimated to reach $52.6 billion, while dynamically priced transactions will be 27% of the value of business-to-business electronic transactions. Combining economics with computer science this book is designed to empower business people to apply this new technology for the design, implementation and upgrade of electronic markets. For professionals, consultants, dotcomers and technology managers, as well as researchers in economics, information systems, operations management, computer science and observers of the e-Commerce phenomenon.

Table of Contents

List of figures	vii
List of tables	ix
Preface	xi
Acknowledgments	xiii
Electronic Commerce and Electronic Marketplaces	1	(14)
Market-Based Coordination	2	(5)
Fixed versus Dynamic Pricing	7	(3)
Advanced Auction Design for Electronic Markets	10	(2)
The Structure of this Book	12	(3)
Internet Marketplaces--- A Technical Perspective	15	(32)
The Role of Electronic Brokers	15	(2)
Electronic Brokerage Services on the Internet	17	(3)
Software Architectures of Electronic Commerce Applications	20	(7)
Services of an Electronic Broker	27	(9)
OFFER --- A Sample Implementation	36	(5)
Technical Challenges and Directions	41	(6)
The Difficulty of Setting Prices	47	(16)
Market Structures	47	(5)
Setting Optimal Prices	52	(9)
Towards Dynamic Pricing	61	(2)
Methods for the Analyses and Design of Electronic Markets	63	(19)
Equilibrium Theory	63	(2)
Game Theory	65	(5)
Mechanism Design Theory	70	(5)
Experimental Economics	75	(2)
Computational Economics and Simulation	77	(5)
Automated Negotiations --- A Survey of State-of-the-Art Practices	82	(57)
A Roadmap to Negotiation Situations in Electronic Commerce	83	(2)
One-on-One Bargaining	85	(9)
Multilateral Negotiations	94	(16)
A Critical Review of Game-Theoretical Auction Models	110	(4)
Experimental Analysis of Standard Auction Mechanisms	114	(4)
Towards New Frontiers --- Multi-Unit Auctions	118	(13)
Analysis of Online Auctions	131	(6)
Summary	137	(2)
Experimental Analysis of Multi-Attribute Auctions	139	(36)
Multi-Attribute Procurement Negotiations	139	(1)
Description of the Analyzed Mechanisms	140	(4)
Research Questions	144	(1)
Trading Financial Derivatives --- A Sample Scenario	145	(9)
Implementation of an Electronic Brokerage Service	154	(10)
Results of a Laboratory Experiment	164	(11)
Economic Models of Multi-Attribute Auctions	175	(26)
Previous Game-Theoretical Analysis	175	(4)
Comparison of Conventional and Multi-Attribute Auctions	179	(9)
Multi-Unit Extensions	188	(11)
Summary	199	(2)
Conclusions and Perspectives	201	(5)
Applicability and Prerequisites	202	(2)
The Role of Decision Support	204	(2)
Appendix: Utility Theory and Decision Analysis Techniques	206	(24)
A1 Basic Ideas of Utility Theory	206	(9)
A2 Multi-Objective Decision Analysis	215	(15)
References	230	(16)
Index	246