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« Thursday « December 27, 2001
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As Digital Divide Diminishes, E-Commerce Might Not Benefit
(E-Commerce News)
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A recent study by the Yale School of Management and the University of California at Berkeley's Haas School of Business found that the Internet serves as "an equalizer" for those whose demographic characteristics -- primarily African-Americans, Hispanics and women -- might end up costing them at a car dealership. Researchers found that minority buyers pay about 2 percent more than white customers -- about $500 on the average car -- at a dealership. Most of this difference is due to factors such as differing income, education and search costs, the study said. It did not reveal evidence of statistical race discrimination. On the Internet, however, minorities pay the exact same prices as non-minorities, regardless of income, education or other factors, according to the studyFor the record, BoyCaught just bought a truck ... online. Why? The price was too perfect. In-person negotiations would have probably added at least another $2000 to the price.
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