Batten Institute

Rafi Mohammed

Background

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Bio: Rafi Mohammed is a business strategy knowledge leader and business advisory consultant in Monitor Marketspace Center’s Cambridge office. Since joining Monitor in 1998, he has worked on media, new economy, broadband, and online service marketing/development strategy issues. At Marketspace, he focuses on media strategy and pricing issues. Prior to joining Monitor in 1998, he started a media strategy consulting practice in Los Angeles and worked on deregulatory issues at the Federal Communications Commission in Washington, DC. As a teacher in Cornell University’s economics department, he was awarded a fellowship in recognition of his teaching skills and contributions to teaching excellence at Cornell.

His academic research has focused on media and business strategy topics, considering questions such as: How do online channels affect marketing professionals’ strategies? How will their jobs change as a result? What new opportunities will emerge? How can they stay current with new marketing channels?

Mr. Mohammed has published an article on strategic bundling in the O Rand Journal of Economics, a leading academic economics/strategy journal, and he is a co-author of marketspaceU’s recent e-commerce textbook, Internet Marketing: Building Advantage in a Networked Economy. This book, published in August 2001 under the marketspaceU imprint by McGraw-Hill, introduces a new framework for using online and offline marketing levers to create intense and profitable relationships with customers.

He received a B.A. in economics cum laude with departmental distinction from Boston University, a diploma in economics from the London School of Economics and Political Science, and M.A. and Ph.D. degrees in economics from Cornell University.

Expertise: Integrating On-line Off-line Businesses 

Research

Fellowship Focus: Rafi Mohammed’s Batten Fellowship involves collaboration with faculty hosts Sam Bodily and S. Venkataraman on projects involving e-strategy issues. Through this fellowship, a paper will be developed with the working title, “Value Chain and the Internet” along with a case with the same title. Professor Bodily and Mr. Mohammed have written “Wasting Away in Margaritaville: Will Digital Music (and Other Content) Neglect Bundling and Multi-Part Pricing?”

Bundling and multi-part pricing may save e-tailers from the mortal challenges of free digital music. There are many ways to bundle: using exact firm-selected bundles, employing categories, allowing customer-selected bundles, and mixing these with unbundled individual products. Each of these approaches has specific advantages for market segments, leading to additional contribution for the seller to make up for generally lower prices in the competitive online world. Multipart pricing, incorporating initiation, subscription, and variable pricing, affords additional opportunities to capture more of the consumer surplus. These ideas are especially vital online because of the ease of packaging products, the reduced friction of customization, the low cost of complex transactions, and the enhanced ability to measure performance. In the online world, opportunities to redefine the product as a bundle or service package may revitalize music and other content offerings online.

As part of this Fellowship, Professor Bodily, Professor Venkataraman, and Mr. Mohammed developed and delivered an e-strategy course, during which Mr. Mohammed helped students develop concept papers as part of their course requirements. He also worked with Darden’s reference librarian to create research guides for these papers.

Contact Info

Email: mohammed@monitor.com

Appointment: 2001

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