Disruptive Innovation Perspective: Why Do Electronic Markets not yet Prevail?
Particularly In the financial Industry, electronic markets have become popular alternatives to traditional market forms over the last few years. So far the discussion on how electronic markets can be used either to create new markets or to strengthen existing markets has been dominated by a search for value propositions and the observation of decreasing transaction costs In a system. Essentially, electronic markets are merely an alternative exchange mode and thereby representing a transition phase of product trading towards an electronic communication network. The Implementation of a fully developed electronic financial marketplace, however, would result in more efficient pricing compared to the physical environment, greater efficiencies and financial service Integration, less fragmentation, greater liquidity and a broad variety of available products.
KeywordsFinancial Service Pension Fund Electronic Communication Exchange Mode Service Integration
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