Decision Analysis course

This page links to material I use in my Decision Analysis course, with MSc students at the Department of Business Administration, at University of Namur.

Assignment: Two-sided Marketplace Design

Select an existing non-Internet-based service, which performs the matching of supply and demand on a two-sided market.

Design a system which runs on the Internet and could perform (better?) matching of supply and demand in that market.

Rules:

Among the data which you collect, it is neccesary to have interview transcripts of at least 2 supply side participants, 2 demand side participants, 2 professional brokers.

The requirements specification needs to include information about each role’s expectations, costs, and benefits at present (as-is), information about each role’s future costs and benefits, when the solution to requirements is in use. The specification needs to describe the differences between as-is and to-be situations.

The solution specification needs to include at least specifications of the following:

– business model of the business which would own and operate the solution,

– how the service is currently delivered (as-is service processes),

– how the service will be delivered via the system (to-be service processes),

– how the software would work for (interact with) its users;

– go to market strategy for the solution.

Milestones:

1. Create a group and select a two-sided market – deadline: lecture 2 – email me your choice, including a short description of the supply and demand, and of why it is a two-sided market;

2. List of interviewees – deadline: lecture 3 – email me the list of interviewees, and for each their first and last name, email and/or phone, and company/organization they work for;

3. Draft requirements specification (both >50% completed) – deadline: lecture 6 (November 8th) – email / share with me the document;

4. Solution concept presentation – at lecture 7 (November 15th) – present draft requirements specification and draft solution specification to the class;

5. Delivery – at last lecture (December 13th) – present final requirements and solution specifications; all interviewees will be invited for the presentations.

Resources to get you started:

– Eisenmann, Thomas, Geoffrey Parker, and Marshall W. Van Alstyne. “Strategies for two-sided markets.” Harvard business review 84.10 (2006): 92. https://wiki.aalto.fi/download/attachments/38374131/van+alstyne+hbr+two-sided+markets.pdf

– Rysman, Marc. “The economics of two-sided markets.” The Journal of Economic Perspectives 23.3 (2009): 125-143. http://accounts.unipg.it/~davide.castellani/teaching/perugia/edi/Rysman_Two-sided_markets_jep.23.3.pdf

– Evans, David S., and Richard Schmalensee. The industrial organization of markets with two-sided platforms. No. w11603. National Bureau of Economic Research, 2005. https://wiki.aalto.fi/download/attachments/38374131/SSRN-id987341.pdf