Business Models in the Software Market and the Italian Firms' Involvement in Open Source Activities

2006 ◽  
Author(s):  
Gaia Rocchetti
Keyword(s):  
Open Source ◽  
Business Models ◽  
Software Market

Competition Among Proprietary and Open-Source Software Firms: The Role of Licensing in Strategic Contribution

2020 ◽  
Author(s):  
Terrence August ◽  
Wei Chen ◽  
Kevin Zhu
Keyword(s):  
Social Welfare ◽  
Open Source ◽  
Open Source Software ◽  
Business Models ◽  
Consumer Surplus ◽  
Development Effort ◽  
Enterprise Software ◽  
Proprietary Software ◽  
Software Market ◽  
Software Firms

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 third-party firms can also strategically contribute to OSS and compete in the services market, the nature of competition between OSS constituents and proprietary software firms can be complex. Moreover, their incentives are likely influenced by the licensing schemes that govern OSS. We study a three-player game and examine how open-source licensing affects competition among an open-source originator, an open-source contributor, and a proprietor competing in an enterprise software market. In this regard, we examine (1) how quality investments and prices are endogenously determined in equilibrium, (2) how license restrictiveness impacts equilibrium investments and the quality of offerings, and (3) how license restrictiveness affects consumer surplus and social welfare. Although some in the open-source community often advocate restrictive licenses such as the GNU General Public License because it is not always in the best interest of the originator for the contributor to invest greater development effort, such licensing can actually be detrimental to both consumer surplus and social welfare when it exacerbates this incentive conflict. We find such an outcome in markets characterized by software providers with similar development capabilities yet cast in favor of the proprietor. In contrast, when these capabilities either become more dispersed or remain similar but tilt in favor of open source, a more restrictive license instead encourages greater effort from the OSS contributor, leads to higher OSS quality, and provides a larger societal benefit. This paper was accepted by Chris Forman, information systems.

Les business models des sociétés de services actives dans le secteur Open Source

2009 ◽  
Vol 14 (2) ◽  
pp. 7 ◽  
Author(s):  
Olivier Lisein ◽  
François Pichault ◽  
James Desmecht
Keyword(s):  
Open Source ◽  
Business Models

Developing Business Model with Open Source Enterprise Resource Planning

2013 ◽  
pp. 52-63
Author(s):  
Swanand J. Deodhar ◽  
Kulbhushan C. Saxena ◽  
Rajen K. Gupta ◽  
Mikko Ruohonen
Keyword(s):  
Software Development ◽  
Open Source ◽  
Business Model ◽  
Enterprise Resource Planning ◽  
Business Models ◽  
Resource Planning ◽  
Business Applications ◽  
Business Application ◽  
Erp Software ◽  
Software Licensing

Open source approach to software development has been used to develop the so-called ‘horizontal infrastructure’ software such as databases and application servers. However, there is an increasing acceptance of open source approach for developing business applications like enterprise resource planning (ERP) software. Indeed, organizations are building business models around ERP and similar business application developed using open source. In this chapter, the authors analyze the business model of one such open source ERP and explain increasing importance of software licensing and partner networks in FOS-ERP business models.

Developing Business Model with Open Source Enterprise Resource Planning

2012 ◽  
pp. 72-83
Author(s):  
Swanand J. Deodhar ◽  
Kulbhushan C. Saxena ◽  
Rajen K. Gupta ◽  
Mikko Ruohonen
Keyword(s):  
Software Development ◽  
Open Source ◽  
Business Model ◽  
Enterprise Resource Planning ◽  
Business Models ◽  
Resource Planning ◽  
Business Applications ◽  
Business Application ◽  
Erp Software ◽  
Software Licensing

Open source approach to software development has been used to develop the so-called ‘horizontal infrastructure’ software such as databases and application servers. However, there is an increasing acceptance of open source approach for developing business applications like enterprise resource planning (ERP) software. Indeed, organizations are building business models around ERP and similar business application developed using open source. In this chapter, the authors analyze the business model of one such open source ERP and explain increasing importance of software licensing and partner networks in FOS-ERP business models.

Open Source – Collaborative Innovation

2012 ◽  
pp. 1196-1217
Author(s):  
Avi Messica
Keyword(s):  
Software Development ◽  
Open Source ◽  
Business Models ◽  
Current Status ◽  
The Past ◽  
Collaborative Innovation ◽  
Software And Hardware

This chapter reviews the current status of Open Source (OS) and provides new insights into the prerequisites of the OS process as well as the profile of OS contributors. Moreover, it extends the scope of possible business models such to augment those that exist or were already discussed in the past. While the term OS was coined in the context of software development and redistribution, this chapter presents and discusses the concept of OS to include any Open Collaborative Innovation in both software and hardware.

Open Source Software Business Models and Customer Involvement Economics

2009 ◽  
pp. 1906-1915
Author(s):  
Christoph Schlueter Langdon ◽  
Alexander Hars
Keyword(s):  
Open Source ◽  
Business Models ◽  
User Involvement ◽  
Business Economics ◽  
Customer Involvement ◽  
Managerial Implications ◽  
Business Profitability ◽  
Software Business ◽  
Novel Strategy ◽  
Strategic Perspective

This chapter is focused on the business economics of open source. From a strategic perspective, open source falls into a category of business models that generate advantages based on customer and user involvement (CUI). While open source has been a novel strategy in the software business, CUI-based strategies have been used elsewhere before. Since the success of e-commerce and ebusiness, CUI-based strategies have become far more prevalent for at least two reasons: Firstly, advances in information technology and systems have improved feasibility of implementation of CUI strategies and secondly, CUI-based economics appear to have often become a requirement for e-business profitability. This chapter presents a review of CUI-based competition, clearly delineates CUI antecedents and business value consequences, and concludes with a synopsis of managerial implications and a specific focus on open source.

How do Open Source software companies respond to institutional pressures? A business model perspective

2017 ◽  
Vol 30 (4) ◽  
pp. 534-554
Author(s):  
Khaireddine Mouakhar ◽  
Albéric Tellier
Keyword(s):  
Open Source ◽  
Business Model ◽  
Open Source Software ◽  
Business Models ◽  
Institutional Environment ◽  
Institutional Pressures ◽  
Strategic Choices ◽  
Content Type ◽  
Software Companies ◽  
Key Resources

Purpose Open Source software companies (OSSCs) are confronted with institutional pressures from Open Source software (OSS) communities. They must find an acceptable balance between the expectations of these communities and their own business model. However, there are still few studies that try to analyse the OSSC business models. The purpose of this paper is to highlight OSSC typical business models by using rich empirical data. Design/methodology/approach The methodology is based on a combination of quantitative analysis of a sample of 66 OSSCs and qualitative analysis of three typical situations resulting from that sample. Findings The quantitative study enables the authors to highlight three typical business models. The in-depth study of three typical cases enables the authors to specify these OSSC business models. The authors can distinguish four key dimensions: the relationship developed with the OSS communities, the strategic manoeuvres made, the key resources and competitive positioning. Research limitations/implications The results indicate that it is possible for firms to accommodate both profit and non-profit logics using different strategic manoeuvres to position themselves with regard to the Open Source institutional environment. Such accommodation requires the development of key resources and the adoption of suitable competitive positioning. Practical implications This study allows the authors to highlight two main practical contributions for OSSCs’ directors. First, the different manoeuvres identified may help them to ensure coherence between their strategic choices and the business model chosen. Second, the results can help OSSC founders identify value creation mechanisms more clearly by analysing four key variables. Originality/value This paper provides new insight about OSSCs business models. It aggregates four dimensions that provide a more “fine-grained” analysis of business models, while other studies often emphasise one dimension (usually the regime of appropriability).

scholarly journals The Economics of Open Source Software: A Survey of the Early Literature

2002 ◽  
Vol 1 (1) ◽  
Author(s):  
Aaron Schiff
Keyword(s):  
Open Source ◽  
Open Source Software ◽  
Business Models ◽  
Recent Literature ◽  
Future Research ◽  
Research Directions ◽  
Early Literature ◽  
Future Research Directions ◽  
Closed Source

This paper reviews the recent literature on the economics of open source software. Two different sets of issues are addressed. The first looks at the incentives of programmers to participate in open source projects. The second considers the business models used by profit-making firms in the open source industry, and the effects on existing closed source firms. Some possible future research directions are also given.

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