Exercise1-3

3. What happens with new models such as price comparison sites?

Wikipedia(2009) states that Price comparison sites typically do not charge users anything to use the site. Instead, they are monetized through payments from retailers who are listed on the site. Depending on the particular business model of the comparison shopping site, retailers will either pay a flat fee to be included on the site or pay a fee each time a user clicks through to the retailer web site or pay every time a user completes a specified action.

Cairncross(2001) states that price comparison sites enable shoppers to compare prices, products, and availability. Customers can download a piece of software that automatically tells them the best available price for the product they want. It will increasingly be available on internet-enabled mobile telephones, so that customers can use them while they shop rather leave the house.

Price comparsion sites provide online buyer an efficiency methods for comparison of product price.

References:
1. Cairncross(2001). “The death of distance”, Revised Edition, Harvard Business Press(p.118)
2. Wikipedia(2009). “Price_comparison_service”, Received 19th March, 2009 from URL - http://en.wikipedia.org/wiki/Price_comparison_service