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A Model Of Competition Between Perpetual Software And Software As A Service, Zhiling Guo, Dan Ma
A Model Of Competition Between Perpetual Software And Software As A Service, Zhiling Guo, Dan Ma
Research Collection School Of Computing and Information Systems
Software as a service (SaaS) has grown to be a significant segment of many software product markets. SaaS vendors, which charge customers based on use and continuously improve the quality of their products, have put competitive pressure on traditional perpetual software vendors, which charge a licensing fee and periodically upgrade the quality of their software. We develop an analytical model to study the competitive pricing strategies of an incumbent perpetual software vendor in the presence of a SaaS competitor. We find that, depending on both the SaaS quality improvement rate and the network effect, the perpetual software vendor adopts one …
A Model Of Competition Between Perpetual Software And Software As A Service, Zhiling Guo, Dan Ma
A Model Of Competition Between Perpetual Software And Software As A Service, Zhiling Guo, Dan Ma
Research Collection School Of Computing and Information Systems
Duplicate record, see https://ink.library.smu.edu.sg/sis_research/3744/. Software as a service (SaaS) has grown to be a significant segment of many software product markets. SaaS vendors, which charge customers based on use and continuously improve the quality of their products, have put competitive pressure on traditional perpetual software vendors, which charge a licensing fee and periodically upgrade the quality of their software. We develop an analytical model to study the competitive pricing strategies of an incumbent perpetual software vendor in the presence of a SaaS competitor. We find that, depending on both the SaaS quality improvement rate and the network effect, the …
Pricing Of Games As A Service: An Analytical Model For Interactive Digital Services With Hedonic Properties, Tayfun Keskin
Pricing Of Games As A Service: An Analytical Model For Interactive Digital Services With Hedonic Properties, Tayfun Keskin
Information Systems Faculty Publications and Presentations
This study explores optimal pricing strategies in games and other interactive digital goods under incomplete information, when bundling is an option. Drawing from research on the pricing of information goods, we propose a pattern of optimal pricing strategies in which hedonic characteristics affect the utility of interactive digital goods and services. This is a new approach to games, to treat them as a service to determine pricing strategies. Findings reveal that there is an optimal pricing solution for firms in the gaming industry. This finding holds both in bundling and non-bundling cases. Utilizing analytical modeling methodology, we propose pricing-inspired business …