Marketspace

Marketspace—an information- and communication-based electronic exchange environment—is a concept in marketing that emerged in the mid-1990s. Since physical boundaries no longer interfere with buy/sell decisions, the world has grown into several industry specific marketspaces which are integration of marketplaces through sophisticated computer and telecommunication technologies. The term marketspace was introduced by Jeffrey Rayport and John Sviokla[1] in 1994 in their article "Managing in the Marketspace" that appeared in Harvard Business Review.[2] In the article the authors distinguished between electronic and conventional markets. In a marketspace, information and/or physical goods are exchanged, and transactions take place through computers and networks. These networks consist of blogs, forum threads, and micro-blogging services like Twitter; although their article predates Twitter. Businesses and their customers are enabled to create conversations and two-way communications about products and services. These conversations may also happen outside the sphere of control of a given business, when a marketing campaign or customer-service issue captures the attention of web-savvy consumers.

Marketspace vs Marketplace A Marketspace is an online space that facilitates bi-directional commerce. Here not only sellers can list their goods, but buyers can list their needs. The role of the Marketspace is to match buyers and sellers whose contexts have sufficient similarity - if the product being offered and being requested has a high degree of match and the buyer and seller can come to agreement on price, location and timing, then a successful match can be made that will culminate in a transaction.

Online Marketplaces like Etsy or eBay allow vendors to display and sell products taking advantage of the traffic to the site. The marketplace owner typically takes a commission on the sale.

In 1999, the book The Cluetrain Manifesto (The Cluetrain Manifesto) discussed the notions surrounding how the traditional marketplace (or bazaar) was adapting itself to the age of the web—where "markets were conversations". By 2010, we see the emergence of numerous online marketplaces: Amazon, eBay, Facebook, and a number of other large online retailers—yet these were still largely inventories of supply that consumers would browse and purchase from. However, a new concept of a marketspace is emergent—a bi-directional medium which is able to inventory both supply and demand, allow both parties in a transaction to find each other, establish a temporary "buyer-seller" relationship, and then execute the transaction.

Impact

The marketspace article by Jeffrey Rayport and John Sviokla in Harvard Business Review led to various subsequent Academic investigations in the field of business and marketing.[3][4][5] Especially in the field of international business, with its geographic distance sensitivity[6][7] that the global concept of the marketspace obliterates, the concept of marketspace in the form of the Internet received Academic interest. Jim Hamill, a reader in the marketing department at the University of Strathclyde in Scotland, U.K., at the time, was one of the first to note this link in his 1997 paper.[8] Three years later, a PhD student at the same department investigated the link between marketspace and international business explicitly.[9] However, at present, the term Internet is commonly used to refer to what the term marketspace is referring to.

gollark: No.
gollark: But the basic-seeming stuff involves horrendous amounts of computing because of various stacked abstractions.
gollark: Anyway, thing is, most people don't actually do stuff which, well, involves a lot of raw computation on their computers much.
gollark: Still, it does not help much.
gollark: I actually just use web discord.

References
  1. "John J. Sviokla".
  2. "Managing in the Marketspace". November 1994. Harvard Business Review. November 1994. Retrieved 23 July 2013.
  3. "Sarkar, M.B., M. Butler, and J. Steinfield (1998), "Cybermediaries in Electronic Marketspace: Towards Theory Building," Journal of Business Research, 41 (3), 215-221" (PDF). Elsevier. Retrieved 7 September 2019.
  4. "Berthon, P., Pitt, L., Berthon, J.-P., Crowther, C., Bruwer, L., Lyall, P., Money, A. (1997): Mapping the Marketspace: Evaluating Industry Web Sites Using Correspondence Analysis. In: Journal of Strategic Marketing 5(4), pp.: 233-242". Tayloer & Francis. doi:10.1080/096525497346749. Cite journal requires |journal= (help)
  5. "Hoffman, T., T. Novak, and T. Peralta (1999), "Information Privacy in the Marketspace: Implications for the Commercial Use of Anonymity on the Web," The Information Society, 15 (2), 129-139". Tayloer & Francis. Retrieved 7 September 2019.
  6. Beckerman, W. (1956). "Beckermann, W. (1956), "Distance and the Pattern of Intra-European Trade," Review of Economics and Statistics, 38, 31-40". The Review of Economics and Statistics. The MIT Press. 38 (1): 31–40. doi:10.2307/1925556. JSTOR 1925556.
  7. "Ghemawat, P. (2001), "Distance Still Matters - The Hard Reality of Global Expansion," Harvard Business Review, September, 137-147". Harvard Business Publishing. September 2001. Retrieved 7 September 2019.
  8. "Hamill, J. (1997), "The Internet and International Marketing," International Marketing Review, 14 (5), 300-323". MCB UP Ltd. doi:10.1108/02651339710184280. Cite journal requires |journal= (help)
  9. "Brock, Juergen Kai-Uwe (2000), Virtual Globals: Marketspace and the Internationalisation of Small Technology-Based Firms. Unpublished PhD Thesis; Glasgow, Scotland: University of Strathclyde". University of Strathclyde. Retrieved 7 September 2019.

Rayport and Sviokla (1995), Exploiting the virtual value chain, Havard Business Review

Rayport and Sviokla (1994), Managing in the marketplace, Harvard Business Review (Nov.-Dec. 1994): 141–150.

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