Greg Taylor
- Published in print:
- 2014
- Published Online:
- August 2014
- ISBN:
- 9780199661992
- eISBN:
- 9780191782671
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199661992.003.0017
- Subject:
- Business and Management, Information Technology
The Internet has a revolutionary potential because it has few limits to how large it can be. However, as this chapter points out, from an economic perspective, there remains a scarcity of attention. ...
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The Internet has a revolutionary potential because it has few limits to how large it can be. However, as this chapter points out, from an economic perspective, there remains a scarcity of attention. Viewing online markets as a traditional economic problem of allocating scarce commodities in the face of infinite desires, the chapter examines the central role of attention in online markets and its economic implications for businesses and consumers. It discusses the centrality of attention in the business models of a broad spectrum of online enterprises, and shows how such considerations shape pricing and consumers’ end experience. The role of search engines as important gatekeepers of attention is examined, and an explanation given of how economic tools are being used to make the online search industry more effective. This perspective is important enough for some to describe the digital age as an attention economy.Less
The Internet has a revolutionary potential because it has few limits to how large it can be. However, as this chapter points out, from an economic perspective, there remains a scarcity of attention. Viewing online markets as a traditional economic problem of allocating scarce commodities in the face of infinite desires, the chapter examines the central role of attention in online markets and its economic implications for businesses and consumers. It discusses the centrality of attention in the business models of a broad spectrum of online enterprises, and shows how such considerations shape pricing and consumers’ end experience. The role of search engines as important gatekeepers of attention is examined, and an explanation given of how economic tools are being used to make the online search industry more effective. This perspective is important enough for some to describe the digital age as an attention economy.
