Weekly Blog #13

This week in class we learned about Time Warner and it network. I was surprised to learned that most of their network is not wired with fiver optics but rather with the old coaxial cable which has much less quality and bandwidth. Like both groups explained in class I really think that an upgrade of their network could give them a competitive edge over other providers. Verizon already offers Fios, an all-digital services through a five optic network. I have a friend who has it and he mentioned the Internet speed and the quality oh his TV signal is amazing. He used to have Hi-Fi channels though Comcast but Fios has a much superior picture and sound quality. The following article: Fios available to 1 million homes, offices mentions how Verizon already has it fiber optic network available to over $1 million customers in NJ, and plans to add an additional $400,000 next year. Thanks to that, Verizon has been gaining customers at an incredible pace. It reported a penetration rate that far exceeded the average penetration rate of 15% (in all other states were it offers services) Verizon bet heavily in it fiber optic network, the infrastructure expense is very high but it is already paying off. Conventional cable providers will need to step up their game if they want to keep up.

Interactive Assignment #4

Suggest two other business cases in which this method can be used to collect information. What problems do you see besides the ones mentioned in the Background information section? What kind of information system do you need to design to support this method of collecting information? Provide a simple hardware/software configuration.

There are two other business cases other than Hewlett Packard’s where an electronic market could be used to collect information with information aggregation:

1- Market research, more specifically, product testing or research.

For example, a market like the one used on this case could be used to compare two products against each other and see which one has the better ratio of trading and thus figuring out which product has better potential before it is even launched

2- Commodities’ prices for various products, including gold or utility prices and or currency exchange.

In this case an electronic market can be used to find out how a particular utility or commodity is expected to perform in the future. For example if an international, company is planning to invest into a factory in a particular country but has concerns about the possible appreciation of the local currency which will make exports very expensive. If can predict that the currency is going to appreciate or not it may decide to do the investment or not.

On both cases derive several problems. First, actual results may not reflect accurately future results or real performance of the products being tested or traded. Even if you get what look good feedback from the market it may not reflect what it will really happen. Additionally, the format of the electronic market has to be design to give the most appropriate feedback. For example, the market for the product research has to be designed what is going to be exchanged in order to work and in a auction or trading format that gives the best feedback

The class project only involves several people and professor Vragov keeps track of the results on a spreadsheet. Of course if this method of collecting information involves many people an automatic information system is needed. The only hardware needed would be an on-line server or virtual server with an interface allowing participants to access it and trade. That interface could be configured for different market types, allowing for different auction types and or for posting bids and puts. All transaction will automatically be recorded and executed after they are confirmed by both parties without human interaction. The results will then be recorded into a database where the relevant information can be extracted.

Weekly Blog #12

This week in class I learned about McGraw Hill and how piracy, including P 2 P, the Internet and electronic publishing are hurting their conventional printing business. It is true that all kind of conventional publications, including regular books, magazines and newspapers are in general on the decline. I don’t think they are going to disappear on the near future but they eventually will. The new generations will get used to the electronic media: laptops, electronic book tablets, PDAs, smart phones etc, and will not longer use regular publications. Especially since it is much easier to storage books in electronic format than in shelves or take on backpacks.
The following article: Amazon to Unveil E-Book Reader on Monday Explains how Amazon plants to launch its closely guarded mobile e-book reader this Monday. They are just following the current trend. The reader will have Wi-Fi connection so you can buy and download any publication at the Amazon.com book store while sitting at Starbucks having your morning coffee. It also comes with headphones for listen to audiobooks. As we can see, McGraw Hillneeds to change their strategy the same way other publishers are doing and migrate to the trend and offer more electronic options.

Weekly Blog #11

This week in class we learned about social networking. I found out that there are several social networks and they seem to be primarily used by different audiences. Those sites allow you to communicate and share your thoughts, videos, pictures and they have several other features. For example, MySpace allows you to type blogs, invite friends, send email, post and share videos, post classifieds, organize events, white about books, or get other people’s opinions about books, and even play games with other people. It has many other features, just go to their websites and find out. This week we also learned about the pharmacy Duane Reade, its online pharmacy system and their rewards club data warehouse and some ideas on hot to improve them.
The following article: Facebook and MySpace Monetize Friendship with Targeted AdsExplains how MySpace and Facebook are giving advertisers better tools to reach their predominantly youthful audience. MySpace announced on Tuesday they are soon launching SelfServe, a system similar to Google’s AdWords text purchasing system where small businesses can create display ads and target them to their customers. I think the new system will increase MySpace’s advertising revenue.

Weekly Blog #10

This week in class we had several types of auctions: Dutch, English, English second price, Blind, Blind second, etc. Each group bid against each other and decided what the best strategies where for each auction type. I never known there were so many different types. Coming from a small fishermen town, I always wondered why the fish was always sold with a Dutch auction. Now I realize that it needs to be sold before it spoils. I was also amazed how fast the auctions were, most of the time I couldn’t even follow. Of course I was 10 years old. We also learned about the FCC on-line spectrum auctions, and

how the rights to the different frequencies are sold. I didn’t even know companies had to buy the right to use the airwaves.

The Following article: Airwaves auction still faces challenge talks about the upcoming FCC’s 700MHz spectrum auction. They include an "open access" requirements on about a third of the spectrum, which is being made available thanks to the transition to digital broadcasting by TV stations. It is expected to raise as much as $15 billion in an auction to begin Jan. 24. The winner will be required to permit wireless customers to use whatever phones and software they choose, as long as it doesn't harm the network. This rule already originated several lawsuits, including Verizon, claiming the agency had exceeded its authority.