Online Content Syndication - A Critical Analysis from the Perspective of Transaction Cost Theory

Substantial economies of scale in the production of information goods give reasons for considering the outsourcing of the production. The trade in information goods – resulting from the outsourcing of the production – is a typical transaction which can be analysed using transaction cost theory. Taking into account the particular characteristics of information goods and the process of delivering them through digital networks, three out of five sources of transaction costs can be identified which are most relevant for the outsourcing decision. In designing the transaction process, these sources (bounded rationality, opportunism and uncertainty) can be influenced by the transaction partners in order to reduce market-based transaction costs. Employing an intermediary can further reduce transaction costs resulting from bounded rationality and uncertainty but can (overall) also give rise to opportunism. We find that opportunism is the most relevant source of transaction costs if an intermediary is employed on the market for information goods

The legal anatomy of electronic platforms:a prior study to assess the need of a law of platforms in the EU

Digital economy is nowadays a Platform economy. This pervading expansion of platforms has been triggered by their value-creating ability and trust-generation potential. The emergence and increasing popularity of disruptive models, such as sharing-based economy, crowdfunding or fintech variants, have been greatly accelerated by platformbased solutions. Platforms have also transformed social, political, public and educational contexts by providing participative and collaborative environments, creating new opportunities, facilitating the creation of communities, mobilizing resources and capital, and promoting innovation. Along with these visible social and economic disruptions, platforms are also legally disruptive. Their self-regulating power, the internal relational complexity, and the potential role of platform operators for infringement prevention and civil enforcement in a possible policy shift towards an increasing intermediaries’ responsibility have triggered regulatory interest. The aim of this Paper is to examine the platform model in order to explore the legal anatomy of electronic platforms and identify the key issues to consider for possible legislative actions in respect of the same within the context of the European Union (EU) Digital Single Market. First, the analysis concludes that existing transaction-oriented rules are insufficient to fully cover all legal angles of platforms and do not capture its ‘institutional dimension’. Regulations would have to define operators’ obligations in relation to users’ protection, transparency, prevention or private enforcement. Then, the first key regulatory issue to consider is the role that platform operator may or should play. Second, the analysis reveals that the binominal division of information society service providers is not entirely consistent with the actual role of platform operators for the purposes of the application of the specific intermediary liability rules. Thus, the adoption of a set of uniform criteria under which the platform operator might be deemed as an intermediary, and the devising of a common liability regime for platforms would be critical areas to focus regulatory attention on. Third, as the community-based architecture of platforms enables the articulation of decentralized trust-generating mechanisms (reputational feedback systems, recommender systems, rating and listing), it would be pertinent to consider the elaboration of uniform concepts regarding those decentralized reputational systems, speculate on possible common criteria in design and operation (good practices, standards), and ultimately clarify liability scenarios

From Fragmentation to Function: Critical Concepts and Writings on Social Capital Markets' Structure, Operation, and Innovation

We hope to see a future in which more funds flow to investments seeking the generation of social and/or environmental value in conjunction with some level of financial performance. As the 'capital markets' moniker would suggest, we would like to see these capital flows be performance-based (so that funds advance the work of high-performance investees, while being less accessible to lower-performing and/or riskier ventures). Furthermore, we would like to see these investments adopt structures that more completely address the diverse needs and interests of investors and investees. Our ambition is that by better organizing the ideas and initiatives of the many individuals who have worked to frame this emerging market, these goals may be advanced. The paper's secondary goals are to help focus future research and praxis on efforts that build on the significant body of existing work without unduly re-treading well-worn analytical paths. This paper seeks to promote an elevated discussion of the social capital markets, a discourse focusing on  high-leverage issues. The paper also invites experts from related academic and practical fields to engage in a conversation that has to this point largely been conducted between social sector professionals turning their attention to capital flows and finance professionals placing their expertise in the service of social purposes

Web 2.0 as syndication

There is considerable excitement about the notion of 'Web 2.0', particularly among Internet businesspeople. In contrast, there is an almost complete lack of formal literature on the topic. It is important that movements with such energy and potential be subjected to critical attention, and that industry and social commentators have the opportunity to draw on the eCommerce research literature in formulating their views

Early stage investing in green SMEs: the case of the UK

How might a Green New Deal be applied to the early stage financing of Cleantechs? Amidst rising interest and adoption of Green New Deals in the US, the paper explores the need for more focused policy to address early stage long horizon financing of Cleantechs. We argue that insufficient focus has been applied to early stage investing into these types of innovative SMEs that could lower CO2 emissions across a range of sectors (including renewable energy, recycling, advanced manufacturing, transport and bio-science). Adopting a resource complementarity lens and borrowing from transaction cost theory, we illustrate and build theory through longitudinal UK case studies. These demonstrate how government policy can scale-up through international collaboration public-private, principally venture capital, cofinance to facilitate cleantech innovation with potentially game changing impacts on reducing CO2 emissions in order to meet the Paris 2015 Climate Change targets

Sustainable Competitive Advantage of Internet Firms - A Strategic Framework and Implications for Global Marketers

Purpose – At the core of an international marketing strategy is the internet firm’s goal of building and sustaining a competitive advantage. The purpose of this paper is to present an integrative framework to explain the role that customer behavior and customer relationship management (CRM) play in developing a profitable, sustainable competitive advantage for internet companies. Design/methodology/approach – The integrative framework utilizes existing theoretical concepts from the areas of strategy and internet marketing and develops a framework to provide firms with insights into how they can gain the competitive advantage. Findings – This paper links global customer behavior to the firms’ business value chain and provides guidelines for strategic implications. In this conceptual paper, it is discussed that understanding consumer decision-making behavior on the web and managing these relationships are critically important to achieve a superior performance. Research limitations/implications – This is not empirical research. A theoretical model is presented for future testing by researchers using statistical techniques such as structural equation modeling. Practical implications – The framework provides managerial insights into building and sustaining a competitive advantage using a consumer-centric approach, coupled with CRM technology on a global scale. Managerial value is derived by providing an understanding of the link between a sustainable competitive advantage, customer-focused strategies, consumers’ needs and wants, the firm’s performance, and shareholder value. Originality/value – It is important for global marketers to understand how consumer decision-making on the web affects strategic and financial performance. This paper extends the current literature by integrating consumer decision behavior on the web, CRM, and the firms’ performance. This framework explains the creation of a sustainable competitive advantage using customer-focused strategies to develop customer loyalty for superior firm performance

Sustainable Competitive Advantage of Internet Firms - A Strategic Framework and Implications for Global Marketers

Purpose – At the core of an international marketing strategy is the internet firm’s goal of building and sustaining a competitive advantage. The purpose of this paper is to present an integrative framework to explain the role that customer behavior and customer relationship management (CRM) play in developing a profitable, sustainable competitive advantage for internet companies. Design/methodology/approach – The integrative framework utilizes existing theoretical concepts from the areas of strategy and internet marketing and develops a framework to provide firms with insights into how they can gain the competitive advantage. Findings – This paper links global customer behavior to the firms’ business value chain and provides guidelines for strategic implications. In this conceptual paper, it is discussed that understanding consumer decision-making behavior on the web and managing these relationships are critically important to achieve a superior performance. Research limitations/implications – This is not empirical research. A theoretical model is presented for future testing by researchers using statistical techniques such as structural equation modeling. Practical implications – The framework provides managerial insights into building and sustaining a competitive advantage using a consumer-centric approach, coupled with CRM technology on a global scale. Managerial value is derived by providing an understanding of the link between a sustainable competitive advantage, customer-focused strategies, consumers’ needs and wants, the firm’s performance, and shareholder value. Originality/value – It is important for global marketers to understand how consumer decision-making on the web affects strategic and financial performance. This paper extends the current literature by integrating consumer decision behavior on the web, CRM, and the firms’ performance. This framework explains the creation of a sustainable competitive advantage using customer-focused strategies to develop customer loyalty for superior firm performance

How Much Is That Lawsuit in the Window? Pricing Legal Claims

Assessing the value of legal claims is the sixty-four thousand dollar question (no pun intended) of civil litigation. Clients, as every litigator knows, often come into their attorneys\u27 offices with a belief that they know how much their claim is worth. The attorney is then asked to validate that number. Alternately, clients can come to their attorneys with a grievance-I have been injured, a counter-party breached its contract with me, I have been fired, our rainforest has been devastated by a mining company-and ask the attorney for an assessment of how much their grievance might be worth. Contingency lawyers, who function as both attorneys and financiers, must make successful predictions on value in order to remain solvent, let alone to rake in a handsome profit, especially when contingency work is the entirety or the lion\u27s share of their practice.\u27 Various developments in the legal profession and the market for legal services suggest that valuing legal claims may soon further affect additional circles of stakeholders. In the United Kingdom-the jurisdiction that pioneered the globalization of law firms and the liquidity in legal claims-the Legal Services Act recently legalized ownership of law firms by nonlawyers. As with the newfound liquidity of legal claims, here too the United Kingdom is bringing an Australian innovation closer to home. In a closely watched development in Australia, the plaintiffs\u27 firm Slater & Gordon Ltd. became the first-ever publically traded law firm, listing its shares on the Australian Stock Exchange

The effects of intra-industry and extra-industry networks on performance: A case of venture capital portfolio firms

This study examines the influence of intra-industry and extra-industry networks on firm performance by using data on 1264 UK venture-capital-backed start-up companies. The venture's network was operationalized by connecting together the various portfolio companies sharing the same investor. Regression results show that the venture's network has a strong impact on firm's success. Yet, whereas extra-industry ties are directly and positively linked to the likelihood of the venture to reach a successful exit, intra-industry ties exert a negative impact on companies' performances. However, interaction effects show that once a firm establishes a sufficient number of extra-industry ties, it is able to profit from the network in its industry of operation. Overall, these findings show that an optimal balance of ties is achieved through a diverse set of connections incorporating both intra-industry and extra-industry ties

Business models to support content commons

The application of conventional, 'scarce resource' economics to content has been mistaken and harmful. More appropriate forms of economic analysis highlight the critical role that accessibility to information plays in the process of innovation. Meanwhile, down at the micro-economic level, there is an all-too-common perception that open content approaches are unsustainable and bad for business, and reflect naïve idealism on the part of their proponents. This paper identifies a range of suitable business models, and thereby demonstrates that the content commons is sustainable and appropriate for profit-oriented business enterprises