MANAGING IN THE
INFORMATION ECONOMY
Current Research Issues
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MANAGING IN THE
INFORMATION ECONOMY
Current Research Issues
Edited by
Uday Apte
And
Uday Karmarkar
Uday Apte
Naval Postgraduate School
Monterey, CA, USA
Uday Karmarkar
University of California
Los Angeles, CA, USA
Library of Congress Control Number: 2006930393
ISBN-10: 0-387-34214-1 (HB)
ISBN-10: 0-387-36892-2 (e-book)
ISBN-13: 978-0387-34214-6 (HB) ISBN-13: 978-0387-36892-4 (e-book)
Printed on acid-free paper.
© 2007 by Springer Science+Business Media, LLC
All rights reserved. This work may not be translated or copied in whole or in part
without the written permission of the publisher (Springer Science+Business Media,
LLC, 233 Spring Street, New York, NY 10013, USA), except for brief excerpts in
connection with reviews or scholarly analysis. Use in connection with any form of information storage and retrieval, electronic adaptation, computer software, or by similar
or dissimilar methodology now know or hereafter developed is forbidden.
The use in this publication of trade names, trademarks, service marks and similar
terms, even if the are not identified as such, is not to be taken as an expression of
opinion as to whether or not they are subject to proprietary rights.
Printed in the United States of America.
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TABLE OF CONTENTS
Introductory Note
Current Research on Managing in the Information Economy
Uday S. Karmarkar and Uday M. Apte
vii
The Information Economy
Chapter 1
Size, Structure and Growth of the U.S. Information Economy
Uday M. Apte and Hiranya K. Nath
1
Chapter 2
Information Technology and the G7 Economies
Dale W. Jorgenson
29
Structure and the Organization of the Information Economy
Chapter 3
Business Process Outsourcing and “Off-Shoring”: The Globalization of Information-Intensive Services
Uday M. Apte and Uday S. Karmarkar
59
Chapter 4
Information Systems Outsourcing Contracts:
Theory and Evidence
Vijay Gurbaxani
83
Chapter 5
Managing Network Organizations in the Knowledge Economy: Learning from Success and Failure
Hamid R. Ekbia
117
Chapter 6
Understanding Sourcing as a Strategic Business: The Risks
and Rewards of Strategic Sourcing and Inter-Firm Alliances
in India
Eric K. Clemons, Sashi Reddi, and Saleha Asif
149
Marketing and Ecommerce
Chapter 7
Personalization and Technology-Enabled Marketing
Lee G. Cooper
165
Chapter 8
The Real Value of B2B: From Commerce Towards Interaction and Knowledge Sharing
Mohanbir Sawhney and Eleonora Di Maria
185
Chapter 9
Business-to-Business Electronic Markets: Does Trading on
New Information Create Value, and For Whom?
Haim Mendelson and Tunay I. Tunca
209
vi
Table of Contents
Emerging Issues in the Information Economy
Chapter 10
Inter-Organizational Knowledge Transfer as a Source of Innovation: The Role of Absorptive Capacity and Information
Management Systems
Stephen S. Cohen and Cinzia Dal Zotto
231
Chapter 11
Research Issues Concerning Ethics and the Internet:
How Can We Live Well in Cyberspace?
Richard O. Mason
Chapter 12
259
Status Seeking and the Design of Online Entertainment
Communities
De Liu, Xianjun Geng and Andrew B. Whinston
281
Information and Transaction Based Services
Chapter 13
Service Design, Competition and Market Segmentation in
Business Information Services with Data Updates
Bashyam Anant and Uday S. Karmarkar
305
Chapter 14
Chapter 15
Channel Strategy Evolution in Retail Banking
Reynold E. Byers and Phillip J. Lederer
335
A Proactive Demand Management Model for Controlling
e-Retailer Inventory
Uday M. Apte and S. Viswanathan
355
Empirical Studies of Business Practices
Chapter 16
Information Technology Impact on Business Practices:
The UCLA BIT Project
Uday S. Karmarkar and Vandana Mangal
385
Chapter 17
Information and Communication Technology in India and its
Impact on Business Sectors: A Pilot Study
Atanu Ghosh and T. N. Seshadri
413
Chapter 18
Firms and the Digital Technology in Italy: The Network
Moves Forward
C. Demattè, A. Biffi, A. Mandelli and C. Parolini
429
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