This paper presents a framework to analyze the potential changes in transaction costs due to theintroduction of e-commerce on transactions between businesses. It then illustrates and applies thisframework using internal data from an Internet-based firm to measure process improvements,marketplace...

This paper studies transaction costs changes arising from the introduction of the Internet in transactionsbetween firms. We divide transaction costs into coordination costs and motivation costs. We classifycoordination efficiencies into three categories: process improvements, marketplace...