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Abstract
Over the last five years, a variety of market mechanisms have emerged to address various issues pertaining to business-to-business (B2B) e-commerce. However, there is a general lack of understanding on the part of researchers and practitioners on two key issues: What are the key characteristics of these market mechanisms? What factors drive the choice of one market mechanism over the other? Addresses these questions through a study of 12 different market mechanisms in 200 B2B electronic marketplaces. Four factors - degree of fragmentation, asset specificity, complexity of product description, and complexity of value assessment - significantly drive the choice of an appropriate market mechanism for an organization. To gainfully exploit these market structures, organizations need to devise new strategies and reconfigure their supply chains.
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Abstract
Over the last five years, a variety of market mechanisms have emerged to address various issues pertaining to business-to-business (B2B) e-commerce. However, there is a general lack of understanding on the part of researchers and practitioners on two key issues: What are the key characteristics of these market mechanisms? What factors drive the choice of one market mechanism over the other? Addresses these questions through a study of 12 different market mechanisms in 200 B2B electronic marketplaces. Four factors - degree of fragmentation, asset specificity, complexity of product description, and complexity of value assessment - significantly drive the choice of an appropriate market mechanism for an organization. To gainfully exploit these market structures, organizations need to devise new strategies and reconfigure their supply chains.