Fundamentals of Digital Economics

level of course unit

second cycle, Master

Learning outcomes of course unit

The course enables students to assess and outline fundamental determinants, market mechanisms and challenges of the Internet economy: Students gain well-founded knowledge with respect to the typical challenges of a “digital” company within the context of e-business or e-commerce and specifically become familiar with information-technological fundamentals for developing e-business applications and shopping systems and the differences in the area of e-commerce business models. They understand the success factors for online marketing, social shopping, m-commerce, B2B auctions and payment systems.

prerequisites and co-requisites

not applicable

course contents

The course illuminates fundamental aspects of the digital economy. After explaining the particularities of digital goods, electronic markets and added value in the Internet economy, the following topics are addressed in depth:
- Methodological fundamentals, application of networked thinking and acting
- Effects on private persons and companies (network effects, economy of searching and finding, trust aspects)
- Total economic effects (market transparency, globalization of added value, hyper-competition)
- Business models in the digital economy (specifically in the area of e-commerce/m-commerce)

In the area of marketing, the emphasis is on new forms of cooperation and participation, which are enabled by the digital economy (social shopping, viral, mobile, online marketing among others) and the resulting adjustments for entrepreneurial business models. Aspects of the change from stationary to mobile and ubiquitously available applications are also discussed.

In the technical area, infrastructures for e-business (middleware, safety aspects, technologies for project searching and product representation in the digital environment), technologies, platforms and standards in the area of e-commerce (EDI, etc.) as well as advantages and disadvantages compared to stationary trading are discussed.