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Social Commerce: Emerging Mechanisms and Predictions

Dr. Bruce Spencer
Senior Researcher , National Research Council, Canada

Founder of its Internet Logic group, which applies the principles of logic to the usage of Internet resources. It maintains strong external ties to industrial partners, academic colleagues and standards bodies. Bruce has lead six multi-year projects that deliver software to industrial and academic partners, including Bell Sympatico/MSN, Agfa Healthcare, Kibboko.com and Canarie. He was formerly a full professor, and is now an adjunct at the University of New Brunswick, where he co-founded the automated reasoning group, and continues to supervise graduate students.

ABSTRACT

Currently social networks are used by buyers to become more aware of sellers and their goods. Increasingly, they are used with three other market mechanisms: Buyers use social networks to form buyer groups that leverage purchasing power. Sellers incentivize buyers to post recommendations on social media. Sellers or buyers compose compatible items into bundles with increased value and reduced price. We discuss the potential effects of social networks on these mechanisms with a simulation that allows combinations of these mechanisms, based published metrics for authenticity. We also consider the real life implications of these market mechanisms for businesses and (mobile) consumers.

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