Digital Economy - 131 items found

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In the Digital Economy how can any company make money while giving its products absolutely free?

Aug 12, 2006 by Bikram | Posted in Corporations

In the new economy (digital Economy) how can any entourage make money (earn profit) while giving its goods & Services absolutely free? Is there any way to do that and what can be different realizable revenue streams? What various revenue model and strategy should a company employ?

First, I don't be convinced of the "digital" economy is a "new" economy. I think the basics of supply, demand, basic goods, services, and needs are honestly constant.

Naturally, a business must have a revenue stream (and, it's good practice to consider a "costomer" as any dinner party you are selling something to). That said, you may give your product away to the public, but you must also provide some other service for which you recieve payment.

Two services I can concoct of are advertising and data collection. With advertising, the product you are giving away will also alert the recipient to the message of the advertiser. This is what unimpeded newspapers like the Village Voice do. Alternatively, data collection, is where the person who recieves your product tells you something about themselves that you can deal in to a third party.

In the end, I believe that the best business plan is to provide goods and services that people value enough to pay for on thier own. I in that the model for the internet may become much like cable television, where people pay for the opportunity to watch 1000 channels but each human being focuses on some small subset that appeals just to them.