Author
Asundi, J., Carare, O., Doğan, Kutsal
Publication Date
2012-12
Publication Place
-
Elsevier
Subject
Open source software, Game theory, Open-sourcing
Type
Periodical
Language
English
Digital
Yes
Manuscript
No
Library
Özyeğin University
Library Asset ID
1873-5797
Record ID
5de07f11-be88-4f1b-9dda-a70c9db554bd
Library Location
Management Information Systems
Date
2012-12
Sample Text
This paper is concerned with the economic trade-offs associated with open-sourcing, the business strategy of releasing free open-source versions of commercial software products. The effect of the release of open-source versions on the customers’ perception of products is an important determinant of open-sourcing outcomes. We model open-sourcing as a strategic option for firms that compete in the market for software products. Of particular importance in our model is the effect of open-sourcing on customer values and the possibility for better customization offered by the open-source products. We show that open-sourcing can arise as an equilibrium outcome in our simple two-stage game. If the enhancement of customer values from open-sourcing is moderate or high, firms may find it optimal to release open-source versions of their products.
DOI
10.1016/j.dss.2012.05.001
Cilt
54