Synopses & Reviews
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.
Synopsis
In recent years a particularly influential phenomenon has emerged with regard to electronic markets. Owing to the low transaction costs and the high volatility of these markets, many net market makers have deployed various kinds of auction mechanisms. Recent market studies predict that by 2002 a quarter of all transactions will use dynamic pricing concepts. The design and customization of these market mechanisms involve a number of disciplines including economics, computer science, and operations research.
Synopsis
Combines economics with computer science to analyse multidimensional auction mechanisms, the emerging pricing model for e-business. For professionals, consultants and dotcomers involved in designing, implementing and upgrading electronic markets, as well as researchers in: economics, information systems, operations management, computer science and observers of the e-commerce phenomenon.
About the Author
Martin Bichler ia an Associate Professor in Information Systems at the Vienna University of Economics and Business Administration. He is currently visiting scientist at the IBM T. J. Watson Research Center in New York. Dr. Bichler is Associate Editor of the Electronic Commerce Research Journal, and has served as organizer and program committee member in numerous renowned conferences in the field of electronic commerce and information systems. His research focuses on electronic commerce infrastructures and advanced market mechanisms.
Table of Contents
1. Electronic commerce and electronic marketplaces; 1.1. Market-based coordination; 1.2. Fixed versus dynamic pricing; 1.3. Advanced auction design for electronic markets; 1.4. The structure of this book; 2. Internet marketplaces - a technical perspective; 2.1. The role of electronic brokers; 2.2. Electronic brokerage services on the internet; 2.3. Software architectures of electronic commerce applications; 2.4 Services of an electronic broker; 2.5. OFFER - a sample implementation; 2.6. Technical challenges and directions; 3. The difficulty of setting prices; 3.1. Market structures; 3.2. Setting optimal prices; 3.3. Towards dynamic pricing; 4. Methods for the analysis and design of electronic markets; 4.1. Equilibrium theory; 4.2. Game theory; 4.3. Mechanism design theory; 4.4. Experimental economics; 4.5. Computational economics and simulation; 5. Automated negotiations - a survey of state-of-the-art practices; 5.1. A roadmap to negotiation situations in electronic commerce; 5.2. One-on-one bargaining; 5.3. Multilateral negotiations; 5.4. A critical review of game-theoretical auction models; 5.5. Experimental analysis of standard auction mechanisms; 5.6. Towards new frontiers - multi-unit auctions; 5.7. Analysis of online auctions; 5.8. Summary; 6. Experimental analysis of multi-attribute auctions; 6.1. Multi-attribute procurement negotiations; 6.2. Description of the analyzed mechanisms; 6.3. Research questions; 6.4. Trading financial derivatives - a sample scenario; 6.5. Implementation of an electronic brokerage service; 6.6. Results of a laboratory experiment; 7. Economic models of multi-attribute auctions; 7.1. Previous game-theoretical analysis; 7.2. Comparison of conventional and multi-attribute auctions; 7.3. Multi-unit extensions; 7.4. Summary; 8. Conclusions and perspectives; 8.1. Applicability and prerequisites; 8.2. The role of decision support; Appendix: utility theory and decision analysis; Techniques; Basic ideas of utility theory; Multi-objective decision analysis; References; Index.