Abstract

The growing popularity and development trajectory of group-buying are comprehensively examined in this paper. We argue that group-buying, which is a new phenomenon in electronic commerce, can be analyzed from the perspective of system and technology. Using the qualitative data of group-buying websites in the USA and China, we make comparisons between various group-buying website models. Our analysis reveals that the value generated by efficient information sharing is the key factor in the development of group buying websites. Finally, a comparison between group buying websites in the U.S. and China emphasizes the role of national culture in the business model.

Key words: Electronic commerce, group-buying, service system, assistive consumer technology, national culture.