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In this paper a network model is developed in which three players sequentially choose their strategies. In the first stage, a profit–maximizing network firm chooses the price and thus the size of the network. In the second stage the consumers decide whether to join in the network or not. In...
Persistent link: https://www.econbiz.de/10009779339
In this paper, we study the formation of endogenous social storage cloud in a dynamic setting, where rational agents build their data backup connections strategically. We propose a degree-distance-based utility model, which is a combination of benefit and cost functions. The benefit function of...
Persistent link: https://www.econbiz.de/10012167820
This study investigates resourcing of computer software companies that have adopted cloud computing for the development … and delivery of application software. Use of this innovative technology potentially impacts firm financing because the … initial infrastructure investment requirement is much lower than for packaged software, lead time to market is shorter, and …
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The paper presents a model of a software monopolist who benefits from a lagged network externality arising from … consumers' feedback through the so-called bug-fixing effect. That is, the software producer is able to correct errors in the … software code detected by previous users, improving her products over time. Another feature of the model is that it responds to …
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software business models that involve a free component: feature-limited freemium (FLF) and uniform seeding (S). Under FLF, the … firm offers the basic software version for free, while charging for premium features. Under S, the firm gives away for free … against a conventional business model under which software is sold as a bundle (labeled as 'charge-for-everything' or CE …
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