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The Internet of Products Robert Neumann The Internet of Products An Approach to Establishing Total Transparency in Electronic Markets Robert Neumann Magdeburg, Germany Dissertation Otto-von-Guericke-Universität Magdeburg, 2012 ISBN 978-3-658-00904-5 ISBN 978-3-658-00905-2 (eBook) DOI 10.1007/978-3-658-00905-2 Th e Deutsche Nationalbibliothek lists this publication in the Deutsche Nationalbibliografi e; detailed bibliographic data are available in the Internet at http://dnb.d-nb.de. Library of Congress Control Number: 2012953089 Springer Vieweg © Springer Fachmedien Wiesbaden 2013 Th is work is subject to copyright. All rights are reserved by the Publisher, whether the whole or part of the material is concerned, specifi cally the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfi lms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, compu- ter soft ware, or by similar or dissimilar methodology now known or hereaft er developed. Exempted from this legal reservation are brief excerpts in connection with reviews or schol- arly analysis or material supplied specifi cally for the purpose of being entered and executed on a computer system, for exclusive use by the purchaser of the work. Duplication of this publcation or parts thereof is permitted only under the provisions of the Copyright Law of the Publisher’s location, in its current version, and permission for use must always be obtained from Springer. Permissions for use may be obtained through RightsLink at the Copyright Clearance Center. Violations are liable to prosecution under the respective Copyright Law. Th e use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specifi c statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. While the advice and information in this book are believed to be true and ac- curate at the date of publication, neither the authors nor the editors nor the publisher can accept any legal responsibility for any errors or omissions that may be made. Th e publish- er makes no warranty, express or implied, with respect to the material contained herein. Printed on acid-free paper Springer Vieweg is a brand of Springer DE. Springer DE is part of Springer Science+Business Media. www.springer-vieweg.de Abstract In April 2011, the European Commission in their Single Market Act announced that they would try to raise the percentage of inner-European, e-commerce-based trade from 3.4% to 6.8% until the year 2015. The rationale behind this plan is to foster a European electronic commerce infrastructure that enables enterprises to claim new markets and increase sales. At the same time, the EC hopes that their initiative would be the kick-off for an Information Systems-based European growth facilitator. This thesis proposes the Internet of Products as a concept that aims to support the EC initiative from an information systems perspective. It approaches the difficult problem of providing Internet users with a completely transparent view of the inner-European market from a product information accessibility point of view. Furthermore, it analyzes economic, ecological, and societal gains of openly ac- cessible product information in the form of theoretical models, and thereby un- derlines the EC’s growth hypothesis. Though many aspects of very different research disciplines have to be investigated to gain a holistic view of the IoP, this thesis reduces the range of involved research topics to product information dis- coverability related questions. When users employ online search engines for product search, the quality of the search results –to a vast extent– is determined by the product search engine it- self. Among the list of insufficiencies of product search engines are potentially biased rankings (due to economic interests), a distorted view (due to weaknesses in search capabilities), as well as the inability to match queries and product de- scriptions among different languages and cultures. This thesis introduces the concept of a Semantic Product Server (SPS) that aims to provide users with a highly effective tool for Internet-based product infor- mation discovery. The SPS is based upon a Semantic Product Description Lan- guage (S-PDL) that can be used to author attribute-based product descriptions. The product descriptions are hosted and interpreted by the SPS. The SPS, on the other hand, provides client applications with an interface to browse and search for particular goods, and –due to its integration into a wide network of SPS in- stances– allows suppliers for sharing their product descriptions among the world. VI Abstract One of the major challenges of the SPS lies in ensuring real-time search perfor- mance. This thesis analyzes and provides insights from a reference application of the SPS, the so called ArbiterOne system. Based on measurement data that was collected from the ArbiterOne system, in its core this thesis engineers and shares an SPS reference architecture and a formal definition of the S-PDL. Table of Contents Abstract .............................................................................................................. V Acronyms ........................................................................................................ XIII List of Figures .................................................................................................. XV List of Tables .................................................................................................. XIX Listings ............................................................................................................ XXI 1 Introduction ................................................................................................. 1 1.1 Motivation ............................................................................................. 1 1.2 Research Objectives .............................................................................. 2 1.3 Chapter Overview ................................................................................. 5 1.4 A Word on Category Theory ................................................................. 7 Part I: Electronic Commerce and the Internet of Products .... 9 2 The Economics of E-Economies ............................................................... 11 2.1 Fundamentals ...................................................................................... 11 2.1.1 Gallery of Economics .............................................................. 11 2.1.2 From Economy to E-Economy ................................................ 22 2.1.3 From Commerce to E-Commerce ............................................ 25 2.1.4 Electronic Commerce Busines Models .................................... 27 2.1.5 Electronic Commerce Pricing Models ..................................... 30 2.1.6 Markets vs. Electronic Markets ............................................... 31 2.1.7 Macroeconomic Implications of Electronic Markets ............... 34 2.1.8 Implications on Welfare ........................................................... 37 2.2 E-Commerce Process Modeling .......................................................... 39 2.2.1 BPMN-based E-Commerce Process Model ............................. 39 2.2.2 (cid:83) Calculus-based E-Commerce Process Model ....................... 41 2.2.3 System Theoretical Market Model ........................................... 43 2.3 Chapter Summary ............................................................................... 44 VIII Table of Contents 3 The Internet of Products and The Triple Bottom Line ......................... 47 3.1 Market-based Categories .................................................................... 47 3.1.1 Basics of Category Theory ...................................................... 48 3.1.2 Category of Supply .................................................................. 51 3.1.3 Category of Demand ................................................................ 53 3.1.4 Category of Markets ................................................................ 54 3.1.5 Functors between Demand, Supply, and Markets .................... 56 3.1.6 Functor Category of Markets ................................................... 57 3.2 The Internet of Products ...................................................................... 59 3.2.1 Semantic Product Retrieval Benchmark .................................. 61 3.2.2 Toward Total Commerce ......................................................... 67 3.2.3 Reverse Commerce in the IoP ................................................. 71 3.3 The Triple Bottom Line ...................................................................... 72 3.3.1 The Category 3BL ................................................................... 72 3.3.2 The IoP Impact on the 3BL ..................................................... 74 3.3.3 3BL Impact Analysis Criticism ............................................... 78 3.4 Chapter Summary ............................................................................... 79 Part II: Technologies and Paradigms of the Internet of Products ...................................................................... 83 4 Foundations of Semantic Product Query Systems ................................. 85 4.1 Semantic and Web 2.0 Principles ....................................................... 85 4.1.1 The Internet of Things ............................................................. 85 4.1.2 Ontologies ................................................................................ 90 4.1.3 Taxonomies ............................................................................. 94 4.1.4 Faceted Classification .............................................................. 96 4.1.5 Folksonomies ........................................................................... 98 4.1.6 Section Summary ................................................................... 102 4.2 Semantic Product Models and Classification .................................... 103 4.2.1 Origins of Product Modeling ................................................. 103 4.2.2 Semantic Product Models ...................................................... 104 4.2.3 Product Model Persistence .................................................... 109 4.2.4 Product Configurators ............................................................ 112 4.2.5 Product Classification ............................................................ 113 4.2.6 Section Summary ................................................................... 117 Table of Contents IX 4.3 Distributed SPQS Technologies and Paradigms ............................... 117 4.3.1 Component-based Software Engineering ............................... 117 4.3.2 Service-oriented Software Engineering ................................. 120 4.3.3 Agent-oriented Software Engineering ................................... 124 4.3.4 Cloud-based Software Engineering ....................................... 128 4.3.5 Section Summary ................................................................... 135 4.4 Quality Assurance in SPQS .............................................................. 137 4.4.1 Software Measurement Definition ......................................... 137 4.4.2 Measurement Objects in Business Software .......................... 137 4.4.3 Measurement Subjects of Business Software Evaluation ...... 140 4.4.4 Measurement Results of Software Quality Assurance ........... 142 4.4.5 Measurement Resources of Software Measurement .............. 143 4.4.6 Measurement Repercussions of E-Business Software Improvement .......................................................................... 144 4.4.7 Detailed Measurement Process BMP for Business Software Quality Assurance .................................................. 145 4.4.8 Section Summary ................................................................... 146 4.5 Chapter Summary ............................................................................. 146 Part III: S-PDL and SPS as Technological Backbone of the Internet of Products ..................................... 149 5 Semantic Product Description Language .............................................. 151 5.1 Hierarchy-based Product Descriptions .............................................. 151 5.2 Semantic Product Description ........................................................... 153 5.2.1 Explicit vs. Implicit Semantics .............................................. 156 5.2.2 Category-based Fundamentals of Semantic Product Descriptions ........................................................................... 157 5.2.3 Product attributes ................................................................... 159 5.2.4 Internationalization of Product Descriptions ......................... 160 5.2.5 Matching Product Descriptions with Queries ........................ 160 5.2.6 Query Refinement through Semantic Operators .................... 162 5.2.7 Localization of Product Descriptions ..................................... 166 5.2.8 Attribute Handlers ................................................................. 169 5.3 BNF of the S-PDL ............................................................................ 171 5.4 S-PDL Schema .................................................................................. 173 X Table of Contents 5.5 Chapter Summary ............................................................................. 175 6 Semantic Product Servers ...................................................................... 177 6.1 SPS Implementation.......................................................................... 177 6.2 SPS Client Interfaces ........................................................................ 178 6.3 SPS Catalog ...................................................................................... 178 6.4 SPS Execution Environment and Reference Architecture ................ 179 6.5 Dynamic Binding .............................................................................. 181 6.5.1 Mapping Functors to Software .............................................. 186 6.5.2 Memoized Functors ............................................................... 187 6.5.3 Memoization and Memory Utilization................................... 190 6.6 Query Matching ................................................................................ 193 6.7 SPS Deployment ............................................................................... 195 6.8 Chapter Summary ............................................................................. 197 7 Validation and Applications .................................................................. 201 7.1 SPS Prototypes and Applications ...................................................... 201 7.1.1 ArbiterOne ............................................................................. 201 7.1.2 eVoces ................................................................................... 204 7.1.3 EscapeMisery ......................................................................... 205 7.1.4 SpotCrowd ............................................................................. 205 7.2 System Performance and Caching .................................................... 207 7.2.1 Optimal Query Caching ......................................................... 208 7.2.2 Hybrid Cloud Storage Framework ......................................... 214 7.3 Chapter Summary ............................................................................. 222 8 Conclusion ............................................................................................... 225 8.1 Summary ........................................................................................... 225 8.2 Future Work ...................................................................................... 226 Table of Contents XI 9 Appendix .................................................................................................. 231 9.1 Appendix A: Transport Efficiency Analysis ..................................... 231 9.1.1 Triangle Inequality-based Model ........................................... 231 9.1.2 Ellipse-based Model .............................................................. 233 9.1.3 Segments-based Model .......................................................... 235 9.2 Appendix B: S-PDL Template Generation ....................................... 238 9.3 Appendix C: The KULI Model of E-Commerce Maturity ................ 242 10 Bibliography ............................................................................................ 245

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