Business Models in Open Source Software Value Creation

Business Models in Open Source Software Value Creation

Marko Seppänen (Tampere University of Technology, Finland)
DOI: 10.4018/978-1-59140-999-1.ch045
OnDemand PDF Download:
$37.50

Abstract

This chapter explores how the use of a business model enables value creation in the open source software (OSS) environment. We argue that this value can be attained by analyzing the value creation logic and the elements of potential business models emerging in the OSS environment, since profitable business is all about creating value and capturing it properly. Open source (OS) offers one possibility for firms that are continuously finding new opportunities to organize their business activities and increase the amount of value they appropriate according to their capabilities. Furthermore, the concept of a business model is considered a tool for exploring new business ideas and capturing the essential elements of each alternative. We propose that a general business model is also applicable in the context of OSS, and we provide a list of questions that may help managers deal with OSS in their businesses.

Key Terms in this Chapter

Value Network: Three or more organizations strategically collaborate to create superior value to the end-customer.

Core Competency: The set of skills that an organization must perform well in order for the organization to be successful in comparison with its rivals.

Competitive Strategy: How a firm attracts customers, withstands competitive pressures, and strengthens the firm’s market position.

Value Chain: The generic value-adding activities of an organization that provide an analysis tool for strategic planning.

Business model: A tool for exploring new business ideas and capturing the essence of each alternative.

Complete Chapter List

Search this Book:
Reset
Editorial Advisory Board
Table of Contents
Foreword
Stefan Koch
Preface
Kirk St.Amant, Brian Still
Acknowledgment
Kirk St.Amant, Brian Still
Chapter 1
Niklas Vainio
This chapter introduces and explains some of the most relevant features of the free software philosophy formulated by Richard M. Stallman in the... Sample PDF
Free Software Philosophy and Open Source
$37.50
Chapter 2
Brian D. Ballentine
This chapter introduces Greasemonkey, a new extension for the Firefox browser, which enables users to alter the behavior and appearance of Web pages... Sample PDF
Greasemonkey and a Challenge to Notions of Authorship
$37.50
Chapter 3
Dave Yeats
This chapter analyzes the differences between the philosophy of the Free Software Foundation (FSF) as described by Richard Stallman and the open... Sample PDF
Morality and Pragmatism in Free Software and Open Source
$37.50
Chapter 4
Yu-Wei Lin
This chapter aims to contribute to our understanding of the free/libre open source software (FLOSS) innovation and how it is shaped by and also... Sample PDF
Hacker Culture and the FLOSS Innovation
$37.50
Chapter 5
Francesca da Rimini
This chapter investigates the premise that software is culture. It explores this proposition through the lens of peer production, of knowledge-based... Sample PDF
Social Technologies and the Digital Commons
$37.50
Chapter 6
Andrea Bosin, Nicoletta Dessi, Maria Grazia Fugini
A framework is proposed that would create, use, communicate, and distribute information whose organizational dynamics allow it to perform a... Sample PDF
ALBA Architecture as Proposal for OSS Collaborative Science
$37.50
Chapter 7
Victor van Reijswoud
Development organizations and international nongovernmental organizations (NGOs) have been emphasizing the high potential of free and open source... Sample PDF
Evaluating the Potential of Free and Open Source Software in the Developing World
$37.50
Chapter 8
Jennifer Papin-Ramcharan
This chapter presents issues that relate to developing countries’ use of open source software (OSS) and the experience of these countries with OSS.... Sample PDF
Open Source Software: A Developing Country View
$37.50
Chapter 9
Alfreda Dudley-Sponaugle
Computing practices in developing countries can be complex. At the same time, open source software OSS) impacts developing countries in various... Sample PDF
The Social and Economical Impact of OSS in Developing Countries
$37.50
Chapter 10
Juha Järvensivu
Dependencies between modern software projects are common. Jointly, such dependencies form a project network, where changes in one project cause... Sample PDF
Dependencies, Networks, and Priorities in an Open Source Project
$37.50
Chapter 11
M. Cameron Jones
This chapter explores the concept of patchwork prototyping: the combining of open source software applications to rapidly create a rudimentary but... Sample PDF
Patchwork Prototyping with Open Source Software
$37.50
Chapter 12
Sofiane Sahraoui
Open source software (OSS) development has been a trend parallel to that of agile software development, which is the highly iterative development... Sample PDF
An Agile Perspective on Open Source Software Engineering
$37.50
Chapter 13
Daniel Brink
Although open source software (OSS) has been widely implemented in the server environment, it is still not as widely adopted on the desktop. This... Sample PDF
A Model for the Successful Migration to Desktop OSS
$37.50
Chapter 14
Jochen Gläser
This chapter contributes to the sociological understanding of open source software (OSS) production by identifying the social mechanism that creates... Sample PDF
The Social Order of Open Source Software Production
$37.50
Chapter 15
Zippy Erlich
The philosophy underlying open source software (OSS) is enabling programmers to freely access the software source by distributing the software... Sample PDF
Open Source Software: Strengths and Weaknesses
$37.50
Chapter 16
Karin van den Berg
If a person or corporation decides to use open source software for a certain purpose, nowadays the choice in software is large and still growing. In... Sample PDF
Open Source Software Evaluation
$37.50
Chapter 17
Open Source Web Portals  (pages 211-226)
Vanessa P. Braganholo, Bernardo Miranda
Open source software is required to be widely available to the user community. To help developers fulfill this requirement, Web portals provide a... Sample PDF
Open Source Web Portals
$37.50
Chapter 18
Alessandro Nuvolari, Francesco Rullani
The aim of this chapter is to explore the differences and commonalities between open source software and other cases of open technology. The concept... Sample PDF
Curious Exceptions? Open Source Software and "Open" Technology
$37.50
Chapter 19
Marcus Vinicius Brandão Soares
This chapter introduces the hybrid GLW information infrastructure as an alternative to proprietary-only information infrastructures with lower... Sample PDF
Reducing Transaction Costs with GLW Infrastructure
$37.50
Chapter 20
Beatrice A. Boateng, Kwasi Boateng
This chapter examines the main issues that have to be considered when selecting an open source content management system. It involves a discussion... Sample PDF
Issues to Consider when Choosing Open Source Content Management Systems (CMSs)
$37.50
Chapter 21
Ralf Carbon, Marcus Ciolkowski
The increasing number of high quality open source software (OSS) components lets industrial organizations seriously consider integrating them into... Sample PDF
Evaluating Open Source Software through Prototyping
$37.50
Chapter 22
Megan Conklin
This chapter explores the motivations and methods for mining (collecting, aggregating, distributing, and analyzing) data about free/libre open... Sample PDF
Motives and Methods for Quantitative FLOSS Research
$37.50
Chapter 23
Theodoros Evdoridis
This chapter attempts to bring to light the field of one of the less popular branches of the open source software family, which is the open source... Sample PDF
A Generalized Comparison of Open Source and Commercial Database Management Systems
$37.50
Chapter 24
Bruno Rossi, Barbara Russo, Giancarlo Succi
The chapter discusses the adoption and assimilation process of open source software as a new form of information technology. Specifically, the case... Sample PDF
Evaluation of a Migration to Open Source Software
$37.50
Chapter 25
Bruno de Vuyst
This chapter discusses legal and economic rationale in regards to open source software protection. Software programs are, under TRIPS1, protected by... Sample PDF
Legal and Economic Justifi cation for Software Protection
$37.50
Chapter 26
Roy Agostinelli
This chapter provides an anecdotal case study of the adoption of open source software by governmentfunded nonprofit organizations in the legal... Sample PDF
OSS Adoption in the Legal Services Community
$37.50
Chapter 27
Robert Cunningham
This chapter examines the development of open source computer software with specific reference to the political economy of copyleft and the... Sample PDF
The Road of Computer Code Featuring the Political Economy of Copyleft and Legal Analysis of the General Public License
$37.50
Chapter 28
Mathias Klang
The more we rely upon software to mediate the many facets of our lives the more important the ability to control and adapt that software to our... Sample PDF
The Evolution of Free Software
$37.50
Chapter 29
Daniel Poulin, Andrew Mowbray
Law consists of legislation, judicial decisions, and interpretative material. Public legal information means legal information produced by public... Sample PDF
Free Access to Law and Open Source Software
$37.50
Chapter 30
Kwei-Jay Lin, Yi-Hsuan Lin, Tung-Mei Ko
In this chapter, the authors present a novel perspective by using the Creative Commons (CC) licensing model to compare 10 commonly used OSS... Sample PDF
Examining Open Source Software Licenses through the Creative Commons Licensing Model
$37.50
Chapter 31
Darren Skidmore
This chapter introduces the reader to terms relevant to understanding free/libre and open source licenses, some of the relevant legal, and relevant... Sample PDF
FLOSS Legal and Engineering Terms and a License Taxonomy
$37.50
Chapter 32
Stefano Comino, Fabio M. Manenti
Governments’ interest in free/open source software is steadily increasing. Several policies aimed at supporting free/open source software have been... Sample PDF
On the Role of Public Policies Supporting Free/Open Source Software
$37.50
Chapter 33
Laurence Favier, Joël Mekhantar
This chapter deals with the integration of OSS in local and territorial e-administration and its relations with the state level in France. France... Sample PDF
Use of OSS by Local E-Administration: The French Situation
$37.50
Chapter 34
Gabor Laszlo
This chapter introduces L-PEST model as the proposed tool for better understanding the fi elds are influenced by motivations and adaptation policy... Sample PDF
Issues and Aspects of Open Source Software Usage and Adoption in the Public Sector
$37.50
Chapter 35
Casey O’Donnell
This chapter will focus on the economic and temporal/labor demands of creating free/libre and open source software (FLOSS). It begins by analyzing... Sample PDF
The Labor Politics of Scratching an Itch
$37.50
Chapter 36
Jonathan Peizer
This chapter contextualizes open source development and deployment in the nonprofit sector and discusses issues of ideology that often accompany it.... Sample PDF
Open Source Technology and Ideology in the Nonprofi t Context
$37.50
Chapter 37
R. Todd Stephens
This chapter examines the critical task of governing the open source environment with an open source repository. As organizations move to higher... Sample PDF
Governance and the Open Source Repository
$37.50
Chapter 38
Wouter Stam, Ruben van Wendel de Joode
Increasingly, firms participate in OSS communities. However, surprisingly little empirical research has been performed to understand firms’... Sample PDF
Analyzing Firm Participation in Open Source Communities
$37.50
Chapter 39
Community Customers  (pages 510-521)
Jeroen Hoppenbrouwers
This chapter discusses the role of the project/product community in the open source product life cycle. It outlines how a community-driven approach... Sample PDF
Community Customers
$37.50
Chapter 40
Christoph Schlueter Langdon, Alexander Hars
This chapter is focused on the business economics of open source. From a strategic perspective, open source falls into a category of business models... Sample PDF
Open Source Software Business Models and Customer Involvement Economics
$37.50
Chapter 41
Mikko Puhakka, Hannu Jungman, Marko Seppänen
This chapter studies how venture capitalists invest in open source-based companies. Evaluation and valuation of knowledge-intensive companies is a... Sample PDF
Investing in Open Source Software Companies: Deal Making from a Venture Capitalist's Perspective
$37.50
Chapter 42
Risto Rajala, Jussi Nissilä
Profit-oriented business behavior has increased within the open source software movement. However, it has proved to be a challenging and complex... Sample PDF
Revenue Models in the Open Source Software Business
$37.50
Chapter 43
Thomas Tribunella, James Baroody
This chapter introduces open source software (OSS) for accounting and enterprise information systems. It covers the background, functions, maturity... Sample PDF
Open Source for Accounting and Enterprise Systems
$37.50
Chapter 44
Sigrid Kelsey
This chapter discusses various ways that open source software (OSS) methods of software development interact with the corporate world. The success... Sample PDF
Open Source Software and the Corporate World
$37.50
Chapter 45
Marko Seppänen
This chapter explores how the use of a business model enables value creation in the open source software (OSS) environment. We argue that this value... Sample PDF
Business Models in Open Source Software Value Creation
$37.50
Chapter 46
Jacobus Andries du Preez
Novell, Inc. was a leading network operating system provider in the 1980s and early 1990s. However, in the mid-1990s, Novell lost market share in... Sample PDF
Novell's Open Source Evolution
$37.50
Chapter 47
Leila Lage Humes
This chapter studies the use of communities of practice in the process of disseminating open source software (OSS) in the University of São Paulo.... Sample PDF
Communities of Practice for Open Source Software
$37.50
Chapter 48
Kathryn Moyle
Schools are places where the choices made about computing technologies not only reflect their technical requirements but also reflect the... Sample PDF
Selecting Open Source Software for Use in Schools
$37.50
Chapter 49
Phillip Olla
E-learning applications are becoming commonplace in most higher education institutions, and some institutions have implemented open source... Sample PDF
Open Source E-Learning Systems: Evaluation of Features and Functionality
$37.50
Chapter 50
David J. Solomon
This chapter discusses the rapid transition from paper to electronic distribution of scholarly journals and how this has led to open-access journals... Sample PDF
The Role of Open Source Software in Open Access Publishing
$37.50
Chapter 51
James Weller
This chapter presents a case study of a migration to open source software (OSS) in a South African school. The innovative aspect of the case study... Sample PDF
An Innovative Desktop OSS Implementation in a School
$37.50
Chapter 52
Dick B. Simmons, William Lively, Chris Nelson
Within the United States, the greatest job growth is in software engineering and information management. Open source software (OSS) is a major... Sample PDF
Rapid Insertion of Leading Edge Industrial Strength Software into University Classrooms
$37.50
Chapter 53
Robert Fitzgerald
In their simplest form, Wikis are Web pages that allow people to collaboratively create and edit documents online. Key principles of simplicity... Sample PDF
Wikis as an Exemplary Model of Open Source Learning
$37.50
Chapter 54
Pankaj Kamthan
As the development and use of open source software (OSS) becomes prominent, the issue of its outreach in an educational context arises. The... Sample PDF
A Perspective on Software Engineering Education with Open Source Software
$37.50
About the Contributors