M-Commerce: A Location-Based Value Proposition

Abstract

Mobile Commerce (m-commerce) has been defined as a process of conducting commercial transactions via “mobile” telecommunications networks using a communication, information, and payment devices such as a mobile phone or a palmtop unit. Here, we analyze the potential ramifications in the field of marketing and changes in the market due to the advent of m-commerce. In particular, we analyze the opportunities that various characteristics of the m-commerce model can bring to the field of marketing. We investigate the likelihood of the emergence of mall-like zones that are based both on the geographical proximity of services and goods providers and the use of mobile communication devices. Such zones have a potential for becoming the basic units for any analysis of m-commerce scenarios. As m-commerce attains maturity, the zones could become the fundamental parameter in marketing evaluation.