The Internet and its "Information Rules" has dramatically influenced how many industries co-operate and exchange goods and services today. It has changed our thinking about feasible business models. It is disrupting major industries such as the media business. Old industry giants (such as publishing houses) are trying to find their way around in this new era of commerce and attempt to fight off young competitors. The newbies that rapidly grew to dominate the IT industry (i.e. Amazon, Google, Apple, etc.) are fiercely competing with each other, merging rapidly on and off their core competencies. For example, Google starts to sell its own operating system and even phones (Android, Motorola), Apple becomes an application service provider,Amazon sells Labor (Amazon Turk) and Cloud Computing Services.

After attending this course, students will have learned about the particular dynamics underlying Internet Economics, including Price Differentiation, Switching Cost and Lock-in, Supply-side economics in hightech markets (and winner-takes-all phenomena), Network effects, Standardization dynamics, Free business models and their importance in 2-sided markets, Revenue sharing and new forms of contract

In addition, this course fosters the following soft skills: Economic thinking about industry dynamics online, presentation skills

After attending this course, students will have learned about the particular dynamics underlying
Internet Economics, in particular:
• Price Differentiation
• Switching Cost and Lock-in
• Supply-side economics in high tech markets (and winner-takes-all phenomena)
• Network effects
• Standardization dynamics
• ‘Free’ business models and the importance of 2-sided markets
• The economics of search

In addition, this course fosters the following soft skills:
• Economic thinking about the economics of information markets
• Presentation skills
• Team skills

This class sees a mixture of top-down lecturing, group work and discussions in classe, in-class debates, videos, and student team presentations. Real-world cases are debated to see how economic theory is applied to practice. Each week students will receive a lecture and a reading assignment on an Internet economics construct. One big-presentation project at the end of the semester will allow students to delve deeply into one particular Internet Economics subject of their choice.