Abstract
Markets are an essential tool to coordinate complex systems. Engineering markets requires the consideration of numerous objectives and factors that will eventually determine the market’s success. These objectives and factors are frequently not well defined or elaborated. Hence, this chapter aims to support market design through a perspective on what determines market success. To this end, we review the literature, consider examples of market success and failure, and reflect on our ongoing work regarding future electricity market design. We provide a framework for market objectives and success factors with a focus on electricity markets. The framework could spur the identification of objectives and success factors of markets in other domains, and inform the engineering of future electricity markets.
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Acknowledgments
The authors gratefully acknowledge the financial support of the Kopernikus project SynErgie by the Federal Ministry of Education and Research (BMBF) and the project supervision by the project management organization Projektträger Jülich (PtJ). The authors thank all participants in SynErgie Cluster IV for the fruitful discussions.
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Gimpel, H. et al. (2021). Market Success: The Quest for the Objectives and Success Factors of Markets. In: Gimpel, H., et al. Market Engineering . Springer, Cham. https://doi.org/10.1007/978-3-030-66661-3_2
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