Business Models In The Software Industry

The relevance of software business models has tremendously increased in recent years. Markus Schief explores opportunities to improve the management of these models. Based on a conceptual framework of software business model characteristics, he conducts large empirical studies to examine the current state of business models in the software industry. These data then serve as a foundation for statistical analyses of business models’ impact on firm and M&A performance. Finally, the author develops a software business model management tool.

This book examines the current massive changes in the software product industry on the basis of business model changes affecting six software products, and proposes a generic framework for business model innovation. Due to the combined effects of globalization, new market expectations and IT consumerization, the software industry has been experiencing a period of fundamental and rapid change. Achieving agility and the ability to innovate has now become vital, thus forcing organizations to create immense potential for innovating their business models. Proprietary and open source software (OSS) licensing represent the two extreme ends of the spectrum that could be used to build the business model of a software product. Given the changed face of the software product industry, successful software product vendors are innovating their business models by adopting a variety of combinations of these unilateral and new business models. However, these innovations also pose a number of challenges. The book examines these challenges in the context of several software product case studies in which companies successfully (or in some cases, less successfully) met these challenges and changed their business models. Focusing on the major issues related to business models in the software product industry, the book is targeted for a variety of readers: software entrepreneurs/start-ups, software product industry professionals, academics and students. Though the industry and technologies are changing rapidly, the issues addressed here are fundamental and will remain important ones for the foreseeable future.

This book is about ecosystem mechanics and how to generate revenue through ecosystems and partnerships in the software industry. Topics include: economic foundations, value chains, business and partnering models as well as examples from Google, Microsoft, SAP, OpenSource among many others. Preface by Karl-Heinz Streibich, CEO of Software AG and Executive Member of BITKOM, the German Federal Association for IT, Tele-communications and New Media on "Software Clusters". Industry Comments: Thomas Koulopoulos, Founder and CEO of Delphi Group, author of multiple bestselling books on IT and business trends, futurist, opinion leader www.TKspeaks.com "Complexity and scale of the software industry is daunting. Partnering in this maze of players and relationships is like climbing Everest without a guide. This book is your GPS to the software ecosystem. Popp and Meyer did a great job distilling and explaining essential principles, such as the software industry value chain, many types of business models, and how all these can be leveraged to help your business grow and thrive. This book is a must read for anyone trying to navigate the chaos of the software landscape " Franz Baljer, President of the International Association for SAP Partners www.ia4sp.org and SAP Alliance Manager at T-Systems."This book helps people in our industry since it provides deep insight into partnering and alliance management. We are proud that knowledge and experiences of our members have contributed to this book".

Exploring the Cloud Computing (CC) commercial landscape as it matures; this book asserts that the key ingredient in sustaining the Software as a Service (SaaS) business model is subscription renewal. Chronicling the evolution and future trajectory of the CC concept, the authors examine the new paradigm it is creating for the distribution of computer software applications among business-to-business (B2B) clients. CC enabled SaaS has been fundamentally changing the revenue expectations and business model for the application software industry, and impacting on how SaaS providers pursue, acquire and retain B2B clients. Securing SaaS subscription renewal is critical to the survival and prosperity of this business as attrition can have a significant impact on the financial viability of SaaS businesses based on this model. Focusing on the B2B client and the SaaS industry dependency on renewal subscriptions delivered through the CC channel, the primary research presented in this book seeks to examine the key drivers behind the B2B SaaS subscription renewal decision and, in doing so, to explore the recurring revenue framework for the Cloud SaaS business.

Innovation is the key to maintain competitive advantage. Innovation in products, processes, and business models help companies to provide economic value to their customers. Identifying the innovative ideas, implementing those ideas, and absorbing them in the market requires investing many resources that could incur large costs. Technology encourages companies to foster innovation to remain competitive in the marketplace. Emerging Technologies for Innovation Management in the Software Industry serves as a resource for technology absorption in companies supporting innovation. It highlights the role of technology to assist software companies—especially small start-ups—to innovate their products, processes, and business models. This book provides the necessary guidelines of which tools to use and under what situations. Covering topics such as risk management, prioritization approaches, and digitally-enabled innovation processes, this premier reference source is an ideal resource for entrepreneurs, software developers, software managers, business leaders, engineers, students and faculty of higher education, researchers, and academicians.

Whether ERP software, office applications, open-source products or online games: In terms of its economic characteristics, software differs fundamentally from industrial goods or services. Based on the economic principles and rules of the software industry, the book reveals strategies and business models to software vendors that comprise cooperation, distribution, pricing and production and industrialization strategies, as well as software as a service and platform concepts. Further aspects including the outsourcing behavior of software vendors and users; providing business software as open source software; selecting software; and the value chains in the software industry are also addressed. Based on a number of expert meetings, it contains numerous case studies and new empirical findings. Target audience of the book are professionals and executives from the software, consulting and IT branches as well as students and scholars of business administration, computer science, business and industrial engineering.

Whether ERP software, office applications, open-source products or online games: In terms of its economic characteristics, software differs fundamentally from industrial goods or services. Based on the economic principles and rules of the software industry, the book reveals strategies and business models to software vendors that comprise cooperation, distribution, pricing and production and industrialization strategies, as well as software as a service and platform concepts. Further aspects including the outsourcing behavior of software vendors and users; providing business software as open source software; selecting software; and the value chains in the software industry are also addressed. Based on a number of expert meetings, it contains numerous case studies and new empirical findings. Target audience of the book are professionals and executives from the software, consulting and IT branches as well as students and scholars of business administration, computer science, business and industrial engineering.