The evolution of the internet of things industry and market in China: An interplay of institutions,demands and supply

This paper seeks to provide some explanation as to how demand-, supply- and institutions-related factors in China have affected the creation and diffusion of Internet of Things (IoT)-related products and services. Concerning demand side factors the paper demonstrates how potential market size and existing technology trajectory work in favor of IoT diffusion. As a related demand side factor the paper argues that, in terms of the technological trajectory, China has started farther from the frontier than most industrialized countries. The degree of incremental benefit from the IoT is thus higher in the country. As to the supply side factors, the article promotes an understanding of how Chinese technology companies have capitalized on a huge user base to develop IoT-based applications. It also suggests that technologies and expertise provided by foreign multinationals have also played crucial roles. Regarding formal institutions, the government's proactive policies have been a major factor in the IoT's evolution. It is also in the Chinese government's interest to develop IoT products to make censorship and surveillance more effective. Regarding informal institutions, Chinese consumers are less concerned than Westerners about being tracked and monitored, which provides a favorable condition for the adoption of IoT-enabled devices. Nonetheless, this condition is changing due to increasing abuse of consumer privacy. China and the U.S. are compared in terms of diffusion, key determinants, performance indicators and impacts of the IoT in order to understand the areas that China outperforms—and underperforms—the U.S. Some indicators are proposed to gauge the IoT-related performance and the impacts of the IoT.     

A comparative study of online privacy regulations in the U.S. and China

Online privacy seeks to protect the identity of individuals who use the internet to collect information or express opinions. However, given the proliferating vehicles through which one's identity can be ascertained, the question remains as to what policies can most effectively protect personal identity. This paper explores the similarities and differences with online privacy regulation in the United States and China. The scope of privacy measures examined here ranges from government to personal levels, from communication and finance to personal records, for adults and children. As might be expected in a democracy, American legislative initiatives are more comprehensive and far-reaching than those of their Chinese counterparts. In China, there was until recently no specific right of privacy specified in dedicated legislation, with privacy having been instead protected under the right of reputation in the Civil law. Policy implications stemming from these competing models are evaluated. Study findings underscore the notion that privacy should be a universally established individual right, and that both countries are moving—at least in rhetorical terms—to strengthen it as such.     

Consumer Resistance to Innovation in Services: Challenges and Barriers in the Internet of Things Era

The Internet of Things (IoT) is expected to be the next phase of the Internet revolution and to transform consumers’ service experience. It nevertheless raises challenges on innovation in services. Based on Ram and Sheth's ( 1989 ) theoretical framework, this work attempts to provide a better understanding of the barriers that lead to consumers’ resistance to smart services as an innovation. To this end, our research adopts an integrative framework that combines functional barriers, psychological barriers, and individual barriers to explain consumer resistance to smart services. Structural equation modeling was used to test this theoretical framework. Our research enriches the existing literature by (1) adapting Ram and Sheth's ( 1989 ) theoretical framework to the evolution of digital technologies (technological vulnerability barriers), (2) taking into account the ideological aspect of resistance (ideological barriers), and (3) considering dispositional variables (individual barriers). Moreover, it highlights the key role of skepticism toward IoT devices as a mediator between technological vulnerability barriers and individual barriers on the one hand and consumer resistance to smart services on the other.     

Smart TV and the online media sector: User privacy in view of changing market realities

Smart TV and online media enable precise monitoring of online media consumption, which also forms the basis for personalised recommendations. This new practice challenges EU policy in two respects. Firstly, the legality of monitoring individual media consumption and using personal data of users is primarily addressed under data protection law. Secondly, tracking of viewing behaviour and personalisation of media content can also affect individuals’ freedom to receive information, as well as the realisation of media policy objectives such as media freedom and pluralism, implications that so far are not reflected in media law and policy, or only marginally. This article addresses the increasing reliance on personal data and personalised services in the audiovisual and online media sector and queries the appropriateness of the legal status quo in light of implementation and enforcement actions in Germany and the Netherlands. The analysis concludes with a call for media policy makers and regulators to pay more attention to the issue of ‘smart surveillance’ of media users, and develops a number of concrete recommendations on how to accommodate the specific privacy concerns of media users.     

Provision of Internet privacy and market conditions: An empirical analysis

Importing insights from an industrial organization model, this study analyzes the relationship between the provision of Internet privacy protection and market conditions. A composite sample of heavily trafficked and randomly selected sites was examined as to their level of privacy protection, as indicated by interface features of Notice and Choice. The analyses showed the limited supply of such functionalities by most websites, far short of the industry's standard of conduct. Logistic regressions demonstrated that domain and website attributes, indicative of market conditions, had minimal impact on the likelihood of high privacy provision. The findings shed critical lights on the market-based FTC Internet privacy principle that has been placed since 1998 and indicate the need for a new set of interface-focused policy proposals in domain-context specific regulations.     

How institutional pressures and systems characteristics shape customer acceptance of smart product-service systems

This research examines how institutional pressures (mimetic, normative, and coercive), which provide shared expectations of and norms for legitimate behavior, and system characteristics influence business-to-business (B2B) customer acceptance of smart product-service systems (PSSs). This is important because many B2B customers are still reluctant to adopt smart PSSs. Drawing from a cross-industry survey with 160 managers of B2B firms and controlling for other major adoption drivers (e.g., privacy risk, organizational innovativeness), we find a non-linear effect of normative pressure on customers' intention to adopt smart PSSs. Furthermore, normative pressure particularly increases adoption intentions when customers perceive a high relative advantage from smart PSSs. Mimetic pressure positively affects adoption of customer input-oriented PSSs, whereas this effect is highly non-linear (U-shaped) for customer output-oriented PSSs. We extend adoption literature by analyzing non-linear effects of institutional pressures as well as its context dependence. From a managerial perspective, these findings show how suppliers can adapt their sales and communication efforts to effectively market smart PSSs.     

Così fan tutte: A better approach than the right to be forgotten

In this article, we argue in favor of a macro-societal approach to protect people from the potential harms of personal information online. In the tension between information and privacy, “the right to be forgotten” is not an appropriate solution. Such a micro, individual-based answer puts the burden of protection on each person instead of on external entities that can abuse such knowledge. The personal responsibility to delete personal data is challenging because of the leakage of data that happens through the connections we have with others, many of whom do not share the same privacy preferences. We show that effective deletion is almost impossible (the eternity effect), and is unfair due to the resource burden it entails when users try to achieve it, while at the same time ensuring the potential benefits we can derive in the future from having personal information online. In addition, deletion requests can negatively affect other people who are in the same location and time frame and may not want to have their information deleted. Collectively, we argue also that society is worse off because these circumstances lead people to construct sanitized personas while perpetuating a culture of distrust. Given that the harm is real, we describe technology, societal norms, and the implementation of an anti-discrimination directive for the right to a personal life, and we provide evidence on how anti-discrimination efforts in the past have succeeded when legislation leads to the development of infrastructures that help to enforce them. The dissemination of personal information through public sites and social media is, as Mozart suggested in Cosi fan tutte, gradually educating humanity about human weaknesses.     

Pursuing consumer empowerment in the age of big data: A comprehensive regulatory framework for data brokers

Data brokers play a central role in the big data ecosystem, compiling personal data from numerous sources and subsequently selling them to businesses worldwide. Such practices, however, generally occur clandestinely without consumers' knowledge or consent and can harm consumers in a discriminatory manner. In recent years, US policymakers have been urged to regulate data brokers by promoting individual choice but have failed, whereas the European Union has introduced broad data privacy guarantees for consumers and a data protection regime that limits data brokers' activities if consumers' consent has not been obtained for specific purposes. Because of the power imbalance between consumers and data brokers, the author argues that the European Union's coherent data protection framework serves as an effective model for regulating data brokers.     

What will be the possible barriers to consumers’ adoption of smart home services?

Recently, smart home services have come to the forefront as part of the growing market for the “Internet of Things.” Since these smart home services were introduced, they have been expected to grow rapidly. However, contrary to optimistic expectations for future market growth, the smart home market has appeared to hit a roadblock and remains at an early market stage. This study attempts to identify the possible barriers that consumers perceive when they are introduced to smart home services. Based on the resistance theory and perceived risk model, we investigate the relationship between perceived risk and resistance to smart home services, using technological uncertainty and service intangibility as the antecedents of perceived risk. Dividing perceived risk into four dimensions—performance risk, financial risk, privacy risk, and psychological risk—the empirical results show that these four risk types are affected by technology uncertainty and service intangibility, and the perceived risks, except for financial risk, have positive effects on the resistance to smart home services. When the survey respondents are divided into two types, postponers and rejecters, the result of postponers is similar with that of total sample, except that privacy risk is unimportant to postponers, and the result of rejecter cannot satisfy the recommended model fit.     

Exploring the key services and players in the smart car market

The traditional role of cars as a means of transport is now expected to undergo major changes as a result of the emerging smart car industry, whereby connection to the Internet can not only improve traffic safety by enabling self-driving but also entertain passengers. Under these circumstances, it is important to explore the killer services that are expected to be in high demand by consumers and keystone players in the emerging market. This study identifies the promising services from a consumer's perspective using analytic hierarchy process analysis and examines experts' views on which industries and firms, as keystone players, are expected to provide the competitive killer services in the market. The results show that the service that consumers find the most important is driving assistance, followed by infotainment and Internet of Things hubs. Meanwhile, the experts rank the importance of industrial player as in the order of Information Technology device manufacturers, followed by platform providers, automobile manufacturers, and network providers, while at the company level, the rank is in the order of Samsung Electronics, Hyundai Motor, Naver, and SK Telecom, respectively. These findings show that consumers regard smart cars as futuristic vehicles, yet continue to emphasize their conventional value as a means of transport, while the experts expect that among the various industry players, IT companies are most likely to enable the concept of the smart car to become a reality.     

中国智能电网产业集聚规划现状与发展趋势分析

目前国内已逐渐形成了一些区域性智能电网产业链雏形。简述了我国智能电网产业集聚发展现状及规划，研究了智能电网产业集聚的意义，在分析总结智能电网产业集聚优势的基础上，从重点产业和重点产品领域对我国智能电网产业未来发展趋势进行展望，提出了我国目前智能电网产业发展面临的挑战及对策建议。     

The evolution of the Internet of Things (IoT): A computational text analysis

There is increasing interest in the IoT, in both academia and industry. Extant studies have surveyed the topic of IoT using different approaches. This study takes a digital innovation view of IoT as a complex ecosystem of technologies, industry applications, concepts, methodologies, and social institutions, which is temporally dynamic and evolves over time. The study focuses on three research questions: (1) What are the important elements of the IoT ecosystem? (2) How are such IoT elements connected in the ecosystem? And (3) How have such IoT elements been evolving over time? This study adopts a topic modeling approach and extracts hidden trends from social media data. The popular elements in the IoT ecosystem are cloud computing, big data, and cybersecurity, among others. The analysis provides detailed information about popular categories or topics in the IoT ecosystem, the associations among those topics, and their evolution since 2014. Based on the findings, the study offers implications for practice and suggestions for future research.     

Innovation ecosystems theory revisited: The case of artificial intelligence in China

Beyond the mainstream discussion on the key role of China in the global AI landscape, the knowledge about the real performance and future perspectives of the AI ecosystem in China is still limited. This paper evaluates the status and prospects of China's AI innovation ecosystem by developing a Triple Helix framework particularized for this case. Based on an in-depth qualitative study and on interviews with experts, the analysis section summarizes the way in which the AI innovation ecosystem in China is being built, which are the key features of the three spheres of the Triple Helix -governments, industry and academic/research institutions-as well as the dynamic context of the ecosystem through the identification of main aspects related to the flows of skills, knowledge and funding and the interactions among them. Using this approach, the discussion section illustrates the specificities of the AI innovation ecosystem in China, its strengths and its gaps, and which are its prospects. Overall, this revisited ecosystem approach permits the authors to address the complexity of emerging environments of innovation to draw meaningful conclusions which are not possible with mere observation. The results show how a favourable context, the broad adoption rate and the competition for talent and capital among regional-specialized clusters are boosting the advance of AI in China, mainly in the business to customer arena. Finally, the paper highlights the challenges ahead in the current implementation of the ecosystem that will largely determine the potential global leadership of China in this domain.     

Using artificial intelligence to detect crisis related to events: Decision making in B2B by artificial intelligence

Artificial Intelligence (AI) could be an important foundation of competitive advantage in the market for firms. As such, firms use AI to achieve deep market engagement when the firm's data are employed to make informed decisions. This study examines the role of computer-mediated AI agents in detecting crises related to events in a firm. A crisis threatens organizational performance; therefore, a data-driven strategy will result in an efficient and timely reflection, which increases the success of crisis management. The study extends the situational crisis communication theory (SCCT) and Attribution theory frameworks built on big data and machine learning capabilities for early detection of crises in the market. This research proposes a structural model composed of a statistical and sentimental big data analytics approach. The findings of our empirical research suggest that knowledge extracted from day-to-day data communications such as email communications of a firm can lead to the sensing of critical events related to business activities. To test our model, we use a publicly available dataset containing 517,401 items belonging to 150 users, mostly senior managers of Enron during 1999 through the 2001 crisis. The findings suggest that the model is plausible in the early detection of Enron's critical events, which can support decision making in the market.     

Interacting effects of uncertainties and institutional forces on information sharing in marketing channels

Marketing channel members in China face difficulties created by market uncertainty and opportunistic costs resulting from behavioral uncertainty, both of which undermine channel performance. In this article, we argue that channel members can use information sharing to maintain channel performance under uncertain circumstances. With empirical data from China, we develop and test a theoretical framework which explores the effects of market uncertainty and contractual commitment on information sharing and supplier operational performance. Moreover, we also find that regulatory protection moderates the relationship between market uncertainty and information sharing. Normative and cognitive protection moderates the relationship between contractual commitment and information sharing. Indeed, information sharing serves as a mediator between uncertainties and supplier operational performance. Consequently, Chinese channel managers are advised to increase the use of more information sharing to counter market and behavioral uncertainties in marketing channels.     

产业集成化:产业组织结构演进新趋势

本文基于信息时代背景下，研究我国产业如何实现国际化战略问题。引入了集成思想，以产业为‘‘轴线”，运用超边际分析方法和演化经济学理论，指出“产业集成”发挥了市场最重要的功能，改变了传统产业分工模式和产业国际化发展路径，在一定程度上突破了要素框架为主的产业发展方式，对产业关系做出新判断，对产业趋势和特点给出新解释，揭示了新全球主义时代市场新“游戏规则”。     

智能电网发展的机制及其对电网自动化技术的影响

从技术和机制的结合方面探讨智能电网与其之前的电网发展阶段的差异。以欧美智能电网研究和建设的现状为前提,讨论智能电网发展需要的机制和制度基础。讨论电力市场环境下智能电网的建设与发展及其对电网自动化技术带来的影响,认为电力市场提供的价格信号是电网自动化系统的新的增量信号,这将对电网自动化技术和智能电网技术产生十分显著和深刻的影响。并进一步讨论了智能电网的发展可能存在的潜在的技术和制度风险。     

Privacy,confidentiality and computers: National and international implications of US information policy

The author assesses what the USA has been doing or not doing in recent years to develop information policies for personal record information to deal with the rapidly changing record-keeping world of public and private organizations. He reviews how well these policies have been implemented and enforced in the context of the US system of government, and compares the experience of European countries with US efforts, especially in the light of the serious debate which is emerging over restraints placed on transborder data flows by the privacy protection efforts of various countries.