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The relationship between Internet market and network environment

Source: Shangpin China | Type: website encyclopedia | Time: June 12, 2014
1. Internet market

Simply put, interconnection Website Design The market is the embodiment of the network information market, that is, the sum of all exchange relationships formed around the unique information goods and information services provided by the Internet. Compared with traditional markets, the Internet market is characterized by lower price levels and greater dispersion.

Professor Bakos of MIT found that when the cost of searching price is lower than the cost of searching commodity attributes, competition will intensify; On the contrary, when the cost of searching price is higher than the cost of searching commodity attributes, the degree of competition decreases. The cost of searching price in the Internet market is lower than the cost of searching for commodity attributes, which makes the market price competition more intense, which is much more intense than the traditional market. Therefore, the price level is lower than the traditional market, and the cost of searching for commodity attributes is higher than the traditional market, leading to the price dispersion in the Internet market is greater than the traditional market. The high degree of price dispersion in the Internet market indicates that consumers are highly distrustful because of the unreliability of commodity attribute information in the market (that is, the low quality of information), which is also an important reason for the low efficiency of the Internet market.

2. Network environment

The rapid development of network technology provides a new network environment that is different from the real "atomic" world. The network environment has the characteristics of teleauthenticity, openness and autonomy. First of all, the Internet has realized the dream of "global village" in a real sense for the first time, and has also created the largest artificial network environment. This artificial network is a digital virtual environment composed of "bits". The "virtual reality" technology makes the network environment very similar to the real environment, with strong verisimilitude. Secondly, in the Internet, there is only HTTP protocol, TCP/IP protocol, etc., and there is no real central management organization. Relying on some "common spirit" (such as entertainment, etc.), it manages and operates its own informal network organization, which is a typical autonomous collaborative network environment. Finally, openness is the most fundamental characteristic of the Internet and its unique charm. It throws aside the characteristics of "territory" and "boundary" of the real environment, and can break through the interpersonal barriers caused by "territory" and "boundary". Openness also means that anyone can publish what he wants on the Internet, and that no individual or organization (including the state and government) can fully control the Internet.

In short, the Internet environment is the basis for the formation of the Internet market. The Internet environment provides the Internet market with rich information, free and open communication platform, thus providing a broad space for the rapid development of the Internet market.
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