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In the ICT sector, product-software is an important factor for the quality of the products (e.g. cell phones). In this context, open source software enables firms to avoid quality competition as they can cooperate on quality without an explicit contract. The economics of open source (OS) versus...
Persistent link: https://www.econbiz.de/10003971543
In enterprise software markets, firms are increasingly using services-based business models built on open-source software (OSS) to compete with established, proprietary software firms. Because thirdparty firms can also strategically contribute to OSS and compete in the services market, the...
Persistent link: https://www.econbiz.de/10012837117
In the ICT sector, product-software is an important factor for the quality of the products (e.g. cell phones). In this context, open source software enables firms to avoid quality competition as they can cooperate on quality without an explicit contract. The economics of open source (OS) versus...
Persistent link: https://www.econbiz.de/10013068600
This paper studies pricing strategies for a commercial software provider who faces competition from both a free-of-charge open-source software substitute and illegal copies of its own product. When network externalities are present, the commercial software provider may choose to set a price...
Persistent link: https://www.econbiz.de/10012997287
Open Source Software (OSS) has grown in importance over the last few decades and now constitutes an important part of the software market particularly in mobile and web technology. In this paper, we provide a preliminary theoretical framework for analyzing currently unexamined issues regarding...
Persistent link: https://www.econbiz.de/10012935308
This paper looks at price and quality competition in software markets under two different forms of competition - one where two proprietary firms first choose quality and then engage in price competition, and second where a proprietary firm faces competition from an open source software firm that...
Persistent link: https://www.econbiz.de/10013055287
I consider a Vickrey-Salop model of spatial product differentiation with quasi-linear utility functions and contrast two modes of production, the proprietary model where entrepreneurs sell software to the users, and the open source model where users participate in software development. I show...
Persistent link: https://www.econbiz.de/10014213412
A large number of studies has been canvassed by the growing rates of diffusion of Open Source Software. However, a formal analysis of the process of competition between open–source and proprietary software is still missing. We propose an epidemic model of innovation diffusion to deal with the...
Persistent link: https://www.econbiz.de/10014217685
Purpose: A growing number of open source software emerges in many segments of the software market. In addition, software products usually exhibit network externalities. The purpose of this paper is to study the impact of open source software on the quality strategies of proprietary software...
Persistent link: https://www.econbiz.de/10011914640
We analyze how network effects affect competition in the nascent cryptocurrency market. We do so by examining early dynamics of exchange rates among different cryptocurrencies. While Bitcoin eventually dominates this market, our data suggest no evidence of a winner-take-all effect early in the...
Persistent link: https://www.econbiz.de/10012984073