Leonard N. Stern School of Business, New York University B55.3338 Electronic Commerce The Internet is altering traditional commerce, and has spawned a number of new digital business models. This course teaches tomorrow's business leaders how to handle the new business world of electronic commerce, and equips them with the concepts and principles necessary to separate the value from the hype. The course has four modules. In the first part of the course, we focus on the business of digital goods - their economics, delivery infrastructure, pricing and rights management. In the second modules, we examine what is different about online consumers, from the point of view of both the buyer and the seller. The third part of the course analyzes electronic commerce and e-business strategy. The final course module focuses on digital organizations and marketplaces, and their impact on business-to-business commerce. In addition to lectures and case discussions, the course is also interspersed with guest talks by leading executives from companies that have successfully conceived and implemented electronic commerce models and strategy.

Required textbook: Information Rules, by Carl Shapiro and Hal Varian. This book is available at most local bookstores; you can also order it online at Amazon.com (and save an additional 15%), Barnes and Noble, or look for the best deal online at MySimon or DealTime. The textbook will be supplemented by a number of online readings.

Tentative Schedule . Day Section (B55.3338.01) Professor Yannis Bakos Course Web Site Evening Section (B55.3338.10) Professor Arun Sundararajan Course Web Site Week 1 09/05: Overview, e-commerce business models 09/05: Overview, e-commerce business models MODULE I: DIGITAL GOODS Week 2 09/10: Basic properties of digital goods, Internet infrastructure, broadband 09/12: MP3.com case 09/12: Basic properties of information goods, Internet infrastructure, broadband, MP3.com case Week 3 09/17: Pricing digital goods, versioning and bundling strategies 09/19: Content pricing strategies 09/19: Pricing digital goods, versioning and bundling strategies, content pricing strategies Week 4 09/24: Intellectual property, copyright and patents 09/26: Theory of digital rights management 09/26: Intellectual property, copyright and patents, theory of digital rights management Week 5 10/01: Digital rights management technologies 10/03: P2P networks, Napster case 10/03: Digital rights management technologies, P2P networks, Napster case MODULE II: THE ONLINE CONSUMER Week 6 10/08: Online product differentiation, segmentation, customization and personalization 10/10: Advertising and branding on the Internet 10/10: Online product differentiation, segmentation, customization and personalization, advertising and branding on the Internet Week 7 10/15: Information and product search 10/17: Understanding online purchasing behavior 10/17: Information and product search, understanding online purchasing behavior MODULE III: ELECTRONIC COMMERCE STRATEGY Week 8 10/22: Strategy and the Internet 10/24: Increasing returns, switching costs and sustainable competitive advantage 10/24: Strategy and the Internet, increasing returns, switching costs and sustainable competitive advantage Week 9 10/29: Dynamic pricing and competition 10/31: Selling products online 10/31: Dynamic pricing and competition, selling products online Week 10 11/05: Online jurisdiction and privacy issues 11/07: Mid-term examination 11/07: Mid-term examination, online privacy and jurisdiction issues MODULE IV: MARKETPLACES AND ORGANIZATIONS Week 11 11/12: Network effects and marketplace liquidity 11/14: Auctions and price-discovery mechanisms 11/14: Network effects and marketplace liquidity, auctions and price-discovery mechanisms Week 12 11/19: Guest lecture (TBA) 11/21: No class (Thanksgiving) 11/21: No class (Thanksgiving) Week 13 11/26: Business-to-business exchanges 11/28: Business-to-business commerce 11/28: Business-to-business exchanges, B2B commerce Week 14 12/03: The digital organization: Business webs and the Cisco case 12/05: The digital organization: Supply-chain management, eCRM 12/05: The digital organization: Business webs and the Cisco case, supply-chain management, eCRM MODULE V: LOOKING AHEAD Week 15 12/10: Mobile commerce 12/12: Wrap-up: business models revisited 12/12: Mobile commerce, business models revisited