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NESTA Crime Online - University of Brighton Repository

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expertise they need to perpetrate one type <strong>of</strong> attack, ensuring – through a mixture <strong>of</strong><br />

rewards and threats – that the technical expert will conduct the assignment effectively.<br />

2.3.2 Hybrid business models<br />

A hybrid business model results from the combination <strong>of</strong> physical (<strong>of</strong>f-line) and web<br />

channels (online). Many authors have differentiated hybrid models from Internet-only<br />

businesses models, using terms like ‘bricks and clicks’, – also known as ‘clicks and<br />

mortar’, ‘surf and turf, ‘cyber-enhanced retailing’, ‘hybrid e-commerce’ 216 – and<br />

swarming business models.<br />

The bricks and clicks business model and its variations generally describe the<br />

partnership between Internet businesses and traditional distribution companies – for<br />

instance the successful business model adopted by Amazon, where orders placed online<br />

are physically distributed by the postal system. In the cybercrime business, the<br />

integration <strong>of</strong> e-commerce with physical channels takes place mostly at the lower end <strong>of</strong><br />

the value chain, that is, during the final transformation <strong>of</strong> stolen information into cash,<br />

without which the entire process would have no meaning or value. The business model<br />

<strong>of</strong> drop services provides an example <strong>of</strong> a combination <strong>of</strong> web channels <strong>of</strong><br />

communication with the purchaser <strong>of</strong> illicit goods online, and <strong>of</strong>f-line provision <strong>of</strong> a<br />

physical address to mail the stolen goods.<br />

The Swarming business model involves the temporary collaboration <strong>of</strong> individuals to<br />

meet a particular challenge or goal. In the legitimate world, members <strong>of</strong> the ‘swarm’<br />

work towards a collective interest, which is broadly defined by any <strong>of</strong> the stakeholders<br />

and is driven by innovation. 217 Many legitimate businesses have used collaborative<br />

216 Timmer, P., (1998), “Business Models for Electronic Markets”, Electronic Markets, 8 (2), 3-8,; Otto, J. and<br />

Q. Chung (2000), “A Framework for Cyber-Enhanced Retailing: Integrating e-commerce Retailing with Brick<br />

and Mortar Retailing”, Electronic Markets, 10 (4), 185-191; Afuah, A. and C. Tucci (2001), “Internet Business<br />

Models and Strategies: Text and Cases”, New York, NY: McGraw-Hill Irwin.; Steinfield, C., T. Adelaar, and Y.-j.<br />

Lai (2002), “Integrating Brick and Mortar Locations with E-Commerce: Understanding Synergy Opportunities”,<br />

Hawaii International Conference on Systems Sciences, Big Island, Hawaii, January 7-10.<br />

217 Gloor, P. A. (2006). Swarm Creativity: Competitive Advantage through Collaborative Innovation Networks.<br />

Oxford; Gloor, P. A. and Cooper, S. (2007). The New Principles <strong>of</strong> a Swarm Business. In: MIT Sloan<br />

Management Review, Nr.: 3, S. 81-84.<br />

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