Last Revised 2 March 1998
M.I.T. Sloan School of Management
Ecommerce and Marketing
Thursday, 2:30 - 5:30 E52-175
http://mit.edu/ecom
Course Instructors:
Professor Erik Brynjolfsson
E53-313, 253-4319
erikb@mit.edu
Professor John D. C. Little
E56-308, 253-3738
jlittle@mit.edu
Admin. Assistants:
Laurie A. Maguire
E53-320, 253-2656
maguire1@mit.edu
Sandra Crawford-Jenkins
E56-364,253-0495
crawfjen@mit.edu
Teaching Assistants:
Jeremy Clifford
JeremyC209@aol.com
Stanley Ouyang (Course Webmaster)
louyang@mit.edu
Office Hours:Via email and by appointment

Syllabus

Jump to:

Course Description | Readings | Assignments and other Activities | Credit and Grading | Appendix

Class of... 2/5 | 2/12 | 2/19 | 2/26 | 3/5 | 3/12 | 3/19 | 3/26 | 4/2 | 4/9 | 4/16 | 4/23 | 4/30 | 5/7 | 5/14



Course description

This seminar examines the progress and potential of the Internet, World Wide Web, and related technologies for the marketing, selling, and distribution of goods and services. Much has happened in this arena and new developments occur at a high rate. We shall do a scan of the environment with the help of student projects, guest speakers, readings, and lectures. The goal will be to cover a selection of important material rather than be encyclopedic.

Topics will include

Readings
Readings packets will be available from the Copy Technology Center, E52-045. Occasional additional readings will be handed out in class and via the web. Please note that some of the web-based readings require a PDF (Portable Document Format) viewer, which is available for a number of different platforms from Adobe Systems Incorporated; look under the heading Adobe Acrobat. http://www.adobe.com/Acrobat/Acrobat0.html

Books for the course are: (These books will be on reserve at Dewey Library.)

Required Kalakota, Ravi & Whinston,Andrew Electronic Commerce: A Managers Guide Addison-Wesley1997
Recommended
  1. Shapiro, Carl and Varian, Hal, Competitive Strategy for the Information Economy ,Harvard Business School Press, Due in Mid-1998, Selected Chapters in course pack
  2. Hagel, John & Armstrong, Arthur, Net Gain ,Harvard Business School Press, 1997
  3. Choi, Soon-Yang; Stahl, Dale. & Whinston Andrew, Economics of Electronic Commerce ,MacMillan Technical Publishing 1997
  4. Schwartz, Evan, Webonomics: Nine essential principles for growing your business on the WWW, Broadway Books, 1997
Assignments and other course activities

Team projects
The main student assignments will be two team projects, undertaken in groups of approximately four people.

The first project is a research briefing. Its purpose is to develop up-to-date information on a relevant aspect of electronic commerce and to share it with the rest of the class and others. In effect, the collection of research briefings by the class will be part of the text materials for the course. Since the field is changing fast, such a collection can provide the latest information for everyone. The briefings will be disseminated via oral presentation, web posting, and hard copy. The written reports are due the week before spring break and the collection will come out as a second course packet when classes resume. Short oral presentations on the briefings will be worked into the class sessions throughout the semester. The appendix to the syllabus has a sample list of possible briefing projects and the course website contains the briefings developed in the seminar last year.

The second project is a case study built around an existing or proposed activity in electronic commerce or marketing. Typically, the project might analyze a specific site in depth, describing its underlying business model and strategy, indicating what was working, what was not, and how the site or strategy might be improved. Alternatives might include analyzing a group of sites, an industry or a prospective business opportunity. The second project will be reported orally and in writing at the end of the term.

Commercenet

Class preparation and participation
The readings provide preparation for the outside speakers and classroom discussion. In addition to doing the readings, students should access and contribute to class discussions on the course web site.

Personal web pages
It is desirable for each student in the course to have at least some hands on experience with the technology of web pages. Many students will already have their own home page, but those who do not are required to bring one up. Please note that you should not post on your web page any personal information about yourself that you feel uncomfortable revealing to the outside world. A lab session will be arranged for those who would like instruction.

Informal dinners with speakers
Many of the outside speakers have been invited to go to dinner with a small group of students after class and several have accepted. The plan is to invite 3-4 students on a sign-up basis. Priority will be first-come-first-serve except that individuals doing projects for which a speaker has special relevance will be given extra preference.

Credit and grading
This is a 9 unit course (3-0-6 Level grad credits). Grades will be assigned on the following basis:

Class participation (including web page) 1/3
Research briefing 1/3
Case study 1/3
SCHEDULE

Feb 5 Electronic commerce and marketing: an overview

Readings Optional Background Reading:
  • Kalakota & Whinston ch. 2
  • Choi, Stahl and Whinston, ch. 2
  • Negroponte, Nicholas, (1995), Part One, Being Digital, Knopf, pp. 3-85
  • Ward Hanson, (1996), "The Original WWW: Business Model Lessons from the Early Days of Radio" (Available in pdf form). This paper looks at another runaway success - radio in the 1920s. A bit of historical perspective is useful in understanding an industry as dynamic as the Web - and its impact on Marketing.
Feb 12 Internet Technology Readings Optional Background Reading
  • Choi, Stahl and Whinston, ch. 3
URLs Guest speaker
David Clark, Internet Engineering Task Force, Senior Research Scientist, MIT Laboratory for Computer Science

Assignment
Submit names of team members and tentative topic for first project to TA before class

Optional exercise
Ward Hanson has put together a nice exercise that shows you how to trace a packet as it travels across the Internet

Feb 19 Pricing Information Goods Readings Optional Background Reading URLs Guest speaker
Neil Budde, Editor, Wall Street Journal Interactive Edition
Evan Schwartz, Author of WEBONOMICS

Assignment
Submit personal URL to TA.

Feb 26 Shopping and Search Readings Optional Background Reading
  • Gates, (1996), "Chapter 8: "Friction Free Capitalism", pp. 180-207.
  • Choi, Stahl and Whinston, ch. 7
URLs Guest speakers:
Prof. Yannis Bakos, University of California, Irvine
Tom Furber, VP Hannaford Bros., Manager, HomeRuns
Mar 5 Business-to-Business E-commerce Readings URLs: Guest speakers: Mar 12 Business-to-Business E-commerce( Cont.) Readings:
  • Kalakota & Whinston: ch 5
Optional Background Reading:
  • Kalakota & Whinston: ch 11
Guest speaker
Nirmal Pal, Director, Network Computing, IBM

Assignment
Project #1 written report due.

Mar 19 No Sloan classes Assignment
Project #1 website due.
Mar 26 Spring break

Apr 2 Business Strategies on the Internet

Readings Optional Background Reading
  • Shapiro & Varian, ch. 7, 8
Assignment
Prepare Firefly Case for Discussion
Apr 9 Advertising as a Business Model; Intelligent Agents Readings URLs: Guest speakers:
Tom Lix, CEO, New Market Ventures, Inc.
Prof. Paul Resnick, University of Michigan, Chair of W3C Platform for Internet Content Selection (PICS)
Apr 16 Online Community Readings Optional Background Reading
  • A. Chavez and P. Maes, "Kasbah: An Agent Marketplace for Buying and Selling Goods ", Proceedings of the First International Conference on the Practical Appication of Intelligent Agents and Multi-Agent Technology, London, UK April 1996.
  • Armstrong, A. J. Hagel III, "The Real Value of Online Communities", Harvard Business Review, May-June, 1996, ppp. 134-141.
URLs: Guest speakers
Prof. Pattie Maes, MIT Media Lab, Director, Agents Group
Prof. Glen Urban, Dean, MIT Sloan School
Apr 23 Banking and the Internet Readings
  • Kalakota & Whinston: ch 7
  • Sirbu, Marvin, Credits and Debits on the Internet IEEE Spectrum, February, 1997
  • Optional Background Reading
    Choi, Stahl and Whinston, ch. 7

    Guest speakers
    Dan Schutzer,Vice President & Director of External Organizations, Standards and Advanced Technology, Citibank ;President of the Financial Services Technology Consortium
    Professor Marvin Sirbu, Carnegie Mellon University

    Apr 30 No Classes

    May 7 Team project presentations

    Readings

    May 14 No Classes

    Appendix: Sample Research Briefing Topics

    Below are a number aspects of electronic commerce and marketing on the internet that might make interesting topics for the research briefing that comprises the first project. A number of the topics were investigated last year but have had new developments occur since then. The list is by no means exhaustive and teams are welcome to suggest other topics or modify these


    Problems? Questions? Contact Stanley Ouyang Last Updated: March 2, 1998