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Geo-blocking in Cross-border e-Commerce in the EU Digital Single Market

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Abstract

A cross-border e-commerce Mystery Shopping Survey conducted in 2015, finds that the practice of erecting virtual barriers is still common in cross-border e-commerce within the EU, as it was in 2009. Electrical appliances, electronics and computer games are particularly difficult to buy online from another country. Geo-blocking often takes place at the delivery stage of the online purchase process and less often at the access stage. Larger websites can also block access according to a buyers IP address. Geo-blocking is less probably between countries sharing a common language while a common border or geographical proximity has no effect. Travel services have a different pattern of geo-blocking from tangible goods, where geo-blocking mainly takes place at the access stage. Price analysis shows that differentiation takes place in all sectors, but is more common in the sectors less affected by geo-blocking.

Suggested Citation

  • Melisande Cardona, 2016. "Geo-blocking in Cross-border e-Commerce in the EU Digital Single Market," JRC Working Papers on Digital Economy 2016-04, Joint Research Centre (Seville site).
  • Handle: RePEc:ipt:decwpa:2016-04
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    File URL: https://ec.europa.eu/jrc/sites/jrcsh/files/JRC101438.pdf
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    Cited by:

    1. Marc Bourreau & Fabio M. Manenti, 2020. "Selling Cross-Border in Online Markets: The Impact of the Ban on Geoblocking Strategies," CESifo Working Paper Series 8690, CESifo.

    More about this item

    Keywords

    geo-blocking; mystery shopping; cross-border e-commerce; digital single market;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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