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Design of Robust Business-to-Business Electronic Marketplaces with Guaranteed Privacy

Author

Listed:
  • Joakim Kalvenes

    (Edwin L. Cox School of Business, Southern Methodist University, Dallas, Texas 75275, abasu@smu.edu)

  • Amit Basu

    (Edwin L. Cox School of Business, Southern Methodist University, Dallas, Texas 75275)

Abstract

Firms that set up electronic marketplaces to enhance their supply and/or distribution channels face challenges in attracting their competitors to participate. A major obstacle is the perception that the owner can unfairly exploit trading information for competitive advantage. In this paper, we propose a marketplace design that shifts the locus of control over trader privacy from the marketplace operator to each individual trader. We show how online transactions between trading partners can be conducted in total privacy, so that not even the marketplace owner/operator can exploit transaction information for strategic purposes. At the same time, our approach includes robust methods for transaction integrity and nonrepudiation, as well as posttransaction dispute resolution.

Suggested Citation

  • Joakim Kalvenes & Amit Basu, 2006. "Design of Robust Business-to-Business Electronic Marketplaces with Guaranteed Privacy," Management Science, INFORMS, vol. 52(11), pages 1721-1736, November.
    • Handle: RePEc:inm:ormnsc:v:52:y:2006:i:11:p:1721-1736
    DOI: 10.1287/mnsc.1060.0570
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    References listed on IDEAS

    as
    1. Kevin Zhu, 2004. "Information Transparency of Business-to-Business Electronic Markets: A Game-Theoretic Analysis," Management Science, INFORMS, vol. 50(5), pages 670-685, May.
    2. Ajit Kambil & Eric van Heck, 1998. "Reengineering the Dutch Flower Auctions: A Framework for Analyzing Exchange Organizations," Information Systems Research, INFORMS, vol. 9(1), pages 1-19, March.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Amit Basu & Sreekumar Bhaskaran & Rajiv Mukherjee, 2019. "An Analysis of Search and Authentication Strategies for Online Matching Platforms," Management Science, INFORMS, vol. 67(5), pages 2412-2431, May.
    2. Yi Qian & Hui Xie, 2013. "Drive More Effective Data-Based Innovations: Enhancing the Utility of Secure Databases," NBER Working Papers 19586, National Bureau of Economic Research, Inc.
    3. Bisceglia, Michele & Padilla, Jorge & Piccolo, Salvatore, 2021. "When prohibiting wholesale price-parity agreements may harm consumers," International Journal of Industrial Organization, Elsevier, vol. 76(C).
    4. Shan Wang & Shi Zheng & Lida Xu & Dezheng Li & Huan Meng, 2008. "A literature review of electronic marketplace research: Themes, theories and an integrative framework," Information Systems Frontiers, Springer, vol. 10(5), pages 555-571, November.
    5. Jorge Padilla & Salvatore Piccolo & Helder Vasconcelos, 2022. "Business models, consumer data and privacy in platform markets," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 49(3), pages 599-634, September.
    6. Mohammed Alkahtani & Qazi Salman Khalid & Muhammad Jalees & Muhammad Omair & Ghulam Hussain & Catalin Iulian Pruncu, 2021. "E-Agricultural Supply Chain Management Coupled with Blockchain Effect and Cooperative Strategies," Sustainability, MDPI, vol. 13(2), pages 1-29, January.
    7. Nelson Granados & Alok Gupta & Robert J. Kauffman, 2010. "Research Commentary---Information Transparency in Business-to-Consumer Markets: Concepts, Framework, and Research Agenda," Information Systems Research, INFORMS, vol. 21(2), pages 207-226, June.
    8. Zach Zhizhong Zhou & Kevin Xiaoguo Zhu, 2010. "The Effects of Information Transparency on Suppliers, Manufacturers, and Consumers in Online Markets," Marketing Science, INFORMS, vol. 29(6), pages 1125-1137, 11-12.
    9. Verhagen, T., 2008. "Investigating the impact of C2C electronic marketplace quality on trust," Serie Research Memoranda 0008, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
    10. Ronny Behrens & Natasha Zhang Foutz & Michael Franklin & Jannis Funk & Fernanda Gutierrez-Navratil & Julian Hofmann & Ulrike Leibfried, 2021. "Leveraging analytics to produce compelling and profitable film content," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 45(2), pages 171-211, June.
    11. Yi Qian & Hui Xie, 2015. "Drive More Effective Data-Based Innovations: Enhancing the Utility of Secure Databases," Management Science, INFORMS, vol. 61(3), pages 520-541, March.
    12. Rach, Sabine & Tschöpel, Michael, 2011. "Handelsplattformen im Internet: Eine Literaturstudie zur empirischen Evidenz," Arbeitspapiere 112, University of Münster, Institute for Cooperatives.

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    More about this item

    Keywords

    electronic commerce; security; privacy; B2B marketplaces;
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