Abstract: ‘Old economy’ companies are increasingly setting up marketplaces for procurement of supplies, either alone or as part of a consortium of competitors within an industry. In this paper we develop a framework for governance structures of electronic markets and contrast different structures by using a case study in the automotive industry. Focus is General Motors’ decision to join the industry market place Covisint and Volkswagen’s decision to build an individual solution…
Introduction: The emergence of ‘old economy’ consortium-based electronic markets has recently gained considerable attention. In 2000 a total of 66 newly founded consortia in 18 different industries have been counted [WALRAVENS and CHUNG 2000]. Two of the most prominent examples are Covisint – founded by General Motors, Ford, and DaimlerChrysler – in the automotive industry and Transora in the consumer goods industry, backed by more than 50 leading companies including Nestlé, Kellogg, and Coca-Cola…
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