A competitive analysis of business models in e-commerce

In the age of knowledge economy, if transformed or exploited successfully, economic value deriving from making the most of intangible intellectual property, can generate higher profits than from traditional tangible capital assets like equipment and land. Patents are a classical instance. Not only is a patent a legal as well as a technical document, but patents also often serve as a critical indicator of scientific and technological strength of a country or a company. Since the business models invented by a company begin to gain recognition by the patenting agency, the profound positive impact on marketing gives the company a competitive edge. However, some researchers advise caution about the serious constraints placed on its competitors who also try to use the same way of doing business. Some cases such as Dell, Amazon, and Priceline are frequently quoted and have been well discussed. This research performs a competitive analysis from the perspective of patenting, focusing on the business models associated with e-commerce. A comprehensive comparison of the business models among countries, sectors and companies is conducted. Insightful evidence on the current state of patenting in business models is also provided.