From traditional transactions to B2B: a contract theoretical analysis

This paper extends Alderete (2009) model of screening contracts to build electronic commerce between a large firm and a small and medium sized enterprise (SME) supplier. The large firm (principal) must choose among SME suppliers (agents) that differ in costs and utility for the ICTtechnology (networ...

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Autor principal: Alderete,María Verónica
Lenguaje:English
Publicado: Universidad de Talca 2010
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Acceso en línea:http://www.scielo.cl/scielo.php?script=sci_arttext&pid=S0718-18762010000300003
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spelling oai:scielo:S0718-187620100003000032018-10-12From traditional transactions to B2B: a contract theoretical analysisAlderete,María Verónica Information Economics Electronic Commerce Game Theory Mechanism Design Small and Medium Sized Enterprises This paper extends Alderete (2009) model of screening contracts to build electronic commerce between a large firm and a small and medium sized enterprise (SME) supplier. The large firm (principal) must choose among SME suppliers (agents) that differ in costs and utility for the ICTtechnology (network good). The method is based on Compte and Jehiel (2008), whose main insight is that when several potential candidates compete for the task, the principal will in general improve the performance of her firm by inducing the member candidates to assess their competence before signing the contract (through an appropriate choice of contracts). In the presence of different preferences for the network good, we show that social surplus increases.info:eu-repo/semantics/openAccessUniversidad de TalcaJournal of theoretical and applied electronic commerce research v.5 n.3 20102010-12-01text/htmlhttp://www.scielo.cl/scielo.php?script=sci_arttext&pid=S0718-18762010000300003en10.4067/S0718-18762010000300003
institution Scielo Chile
collection Scielo Chile
language English
topic Information Economics
Electronic Commerce
Game Theory
Mechanism Design
Small and Medium Sized Enterprises
spellingShingle Information Economics
Electronic Commerce
Game Theory
Mechanism Design
Small and Medium Sized Enterprises
Alderete,María Verónica
From traditional transactions to B2B: a contract theoretical analysis
description This paper extends Alderete (2009) model of screening contracts to build electronic commerce between a large firm and a small and medium sized enterprise (SME) supplier. The large firm (principal) must choose among SME suppliers (agents) that differ in costs and utility for the ICTtechnology (network good). The method is based on Compte and Jehiel (2008), whose main insight is that when several potential candidates compete for the task, the principal will in general improve the performance of her firm by inducing the member candidates to assess their competence before signing the contract (through an appropriate choice of contracts). In the presence of different preferences for the network good, we show that social surplus increases.
author Alderete,María Verónica
author_facet Alderete,María Verónica
author_sort Alderete,María Verónica
title From traditional transactions to B2B: a contract theoretical analysis
title_short From traditional transactions to B2B: a contract theoretical analysis
title_full From traditional transactions to B2B: a contract theoretical analysis
title_fullStr From traditional transactions to B2B: a contract theoretical analysis
title_full_unstemmed From traditional transactions to B2B: a contract theoretical analysis
title_sort from traditional transactions to b2b: a contract theoretical analysis
publisher Universidad de Talca
publishDate 2010
url http://www.scielo.cl/scielo.php?script=sci_arttext&pid=S0718-18762010000300003
work_keys_str_mv AT alderetemariaveronica fromtraditionaltransactionstob2bacontracttheoreticalanalysis
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