Answer 4 parts

a)   Analyse whether the emergence of information technologies and capabilities such as cloud computing, internet, intranet, big data and analytics will alter the organizational structure of corporations and  lead to  more decentralized organizations. Will the  IT  revolution  lead to smaller or larger firms? [10 marks]

b)   Imagine you have been hired by Netflix to advise the firm on its growth strategy? Propose a key strategy for the firm to grow? [10 marks]

c)    How does a firm decide to employ professionals and control how they deliver services to clients, or to operate as a platform enabling independent professionals to provide services directly to clients? [10 marks]

d)   Why are platform technologies likely to fundamentally (disruptively) transform the banking sector? [10 marks]

e)    Explain the Hub and Spoke algorithmic pricing. How may affect prices in the market? Will such techniques  cause  any  concerns  for  consumers’  welfare?  Could  such  algorithms  enhance market efficiency? [10 marks]

f)    Imagine it is the early days of Instagram, and you have been hired to develop growth a growth strategy for the platform. Describe your growth strategy. What is the general lesson that can be learnt from the case? [10 marks]

Section B

Answer 1 question.

Question 2:

a)    Explain eBay and Amazon’s initial business models. How have the business models evolved over time? [10 marks]

b)   eBay predominantly uses auction to help price discovery, enabling trade to occur at efficient prices. Will increasing online competition reduce the attractiveness of auctions as an efficient price discovery mechanism? Fully explain your answer? [10 marks]

c)    Use your analysis to propose relevant business strategies for each firm to enhance its market dominance and prevent its rival from grabbing its market share. How algorithm may play a role in shaping the growth strategy of each firm? (Hint: think of eBay and Amazon as arch rivals). [10 marks]

Question 3

a)   Consider designing an AI algorithm for selecting CEOs that potentially perform best in driving merger and acquisitions. Identify the data that you may use in training such an algorithm. Why cannot the design of such an algorithms possibly be left entirely to computer scientists / programmers? Are there any limitations in training such algorithms? Your analysis should refer to core challenges in constructing such algorithms including the selective labels problem and  measuring  individual  performance  in  constructing  such  algorithms.  Propose  possible solutions. [15 marks]

b)   Explain the four effects of advances in artificial intelligence on labour. How may these impact changes  over  time?  Your  answer  should  include  a  critical  discussion  on  the  distinction between prediction and decision tasks. [15 marks]

Question 4

a)    Explain  the  two  optimality  requirements  of the  blockchain  technology.  How  do  existing blockchain architectures seek to fulfil the requirements? [8 marks]

b)   Define Hash function, hashing, hash value, hash pointers and tamper-evident chains. Explain in detail key properties of cryptographic hash functions. How do the cryptographic properties serve the two requirements of optimal blockchains? [8 marks]

c)    Explain the key challenge in establishing a tamper-evident open / distributed ledger. How do current blockchain architectures meet the challenge? Do economics has a lesson to teach to blockchain designers. The analysis should refer to the concept “proof of work” and “hash values.” [6 Marks]

d)   Are blockchains scalable? Are blockchains immune to hacking or they are hackable? [8 marks]

Section C

Answer 1 question

Question 5

Select a business platform from the list Amazon, Airbnb, or Uber. Using the course concepts, explain the value proposition of the platform. Further, analyse the platform’s history, and growth strategies. Explain if the firm operates in a multi-homing or a winner-take-it-all market. Use your analysis to discuss the firm’s optimal competition strategy. If relevant, the analysis should also explore how AI may help the platform better serve its functions. [30 marks]