2013/2014  KAN-CIEB2004U  Digital Business Models

English Title

Digital Business Models

Course information
Language	English
Exam ECTS	7.5 ECTS
Type	Elective
Level	Full Degree Master
Duration	One Semester
Course period	Spring Changes in course scheduel may occur Thursday 09.00-11.30, week 6-15, 17,18
Time Table	Please see course schedule at e-Campus
Min. participants	15
Max. participants	40
Study board	Study Board for BSc/MSc in Business Administration and Information Systems, MSc
Course coordinator
Jonas Hedman - Department of IT Mangement (ITM)
Main academic disciplines
Information Systems Corporate and Business Strategy
Last updated on 17-02-2014

Learning objectives

After completing the course, the students should be able to: Identify and describe the specific characteristics of digital business models Describe and apply business model concepts in digital business Explain the business and consequences of taking part of digital ecosystems Reflect on current and potential future developments in the digital arena and develop suggestions on digital business models in the economy. Analyze the opportunities and challenges for international and Danish companies in taking part of the digital competition and the internationalization of Internet-enabled firms.

Course prerequisites

B1 or sufficient knowledge in business terminology

Prerequisites for registering for the exam

Compulsory assignments (assessed approved/not approved) Mini project hand in, power point presentation based upon mini project, and presentation

Examination

Take home exam: Examination form Home assignment - written product Individual or group exam Individual Size of written product Max. 15 pages Assignment type Case based assignment Duration Written product to be submitted on specified date and time. Grading scale 7-step scale Examiner(s) Internal examiner and second internal examiner Exam period May/June Make-up exam/re-exam Same examination form as the ordinary exam

Course content and structure

The course portrays the Internet an exciting competitive arena for firms providing digital goods and services. International giants, such as Facebook and Google, are in the center of digital ecosystems that creates opportunities and challenges also for Danish companies. Many start-up and growth companies can today be found in the fast growing businesses of digital marketing, app development, social media, online news and information services, and online innovation services. In addition, traditional businesses such as publishing, entertainment, and banking are facing an ongoing digitalization that drags them onto the digital battlefield – an economic arena with its own economic and competitive principles.  Concepts, models, and economic principles that are useful in analyzing the digital battlefield will be taught and applied on real-life cases. The special characteristics of the products and the industry will be integrated in order to understand the internationalization process of Internet-enabled firms, and the global competitive dynamics among them.

Teaching methods

The course evolves over two parallel strands: one taking a global and general view on Internet as a battlefield for digital goods and services, and one exploring the opportunities and challenges in a specifically Danish context. In the 12 lectures, a combination of lecture-mode instruction and case discussion will be used to enable students to identify and describe characteristics, concepts, models, and principles of digital competition and information economics. In the 10 workshops, students will work danish side of digital competition, developing knowledge and skills in describing opportunities, challenges and consequences for danish companies. We will also work with the outlook for the fastly developing digital economy, and how these developments affect the business opportunities and challenges in the digital arena. Students are expected to take active part in the development of workshops, in order to capture the most current trends and developments in the area. Developing, in groups, suitable exercises and content for one workshop is mandatory for course completion. There will also be 3 mandatory assignments in the application of concepts, models, and economic principles of information economics in a danish context, as well as description of (existing and future) opportunities and challenges for Danish companies in taking part of the digital competition and the internationalization of Internet-enabled firms.

Expected literature

To be decided:  but some indicative references: Adobe Systems, Inc.” HBS cases 801-199   Adomavicius, G., Bockstedt J.C., Gupta A. and Kauffman R.J. 2007. Technology roles and paths of influence in an ecosystem model of technology evolution. Information Technology and Management. 8, 2, 185-202.   Amazon.com: The Brink of Bankruptcy” HBS cases 809-014.   Amit and Zott (2001) Value Creation in E-Business. Strategic Management Journal, 22, 493-520   Anderson (2004): The Long Tail, Wired, No. 10   Antero, M. & Riis, P. H. (2011) Strategic Management of Network Resources: A Case Study of an ERP Ecosystem. International Journal of Enterprise Information Systems. 7, 2, s. 18-33.   Brynjolfsson, Hu and Smith (2006)From Niches to Riches:  The Anatomy of the Long Tail . Sloan Management Review, Summer 2006, Vol. 47, No. 4, pp. 67-71.   Chang, W-L. and Yuan, S-T. (2007) ‘An overview of information goods pricing’, Int. J. Electronic Business, Vol. 5, No. 3, pp.294–314.   Cusumano, M. (2008) The Changing Software Business: From Products to Services and Other New Business Models. MIT working paper 236. January, 2008. http://ebusiness.mit.edu/research/papers/236_Cusumano_Changing_Software_Business.pdf   de Vries, H. J. (2006) Standards for business - How companies benefit from participation in international standards setting. http://www.iecchallenge.org/papers/pdf_iecchallenge/vries.pdf   Hedman and Kalling (2003) The Business Model Concept: Theoretical Underpinnings and Empirical Illustrations, European Journal of information Systems, 12, 49-59   Hui & Chau (2002): Classifying Digital Products, Communications of the ACM, 45, 6, pp.73-79   Iyer and Davenport (2008): Reverse Engineering Google’s Innovation Machine, Harvard Business Review, pp. 59-68   Majchrzak, Cherbakov & Ives (2009): Harnessing the Power of the Crowds with Corporate Social Networking Tools: How IBM Does It, MIS Quarterly Executive, 8, 2, pp. 103-108 Total: 66 pages   Schwab,A. (2011) Network effect to keep Facebook safe from Google move. http://www.crikey.com.au/2011/07/04/network-effect-to-keep-facebook-safe-from-google-move/   Symbian, Google & Apple in the Mobile Space (A)” HBS 909-055 (download/purchase from HBSP website)   Van Dyk End of Cash (2012) http://www.time.com/time/magazine/article/0,9171,2103289,00.html