Category:Business Models
This category is for P2P business models. Articles should emphasize P2P dynamics.
Introduction
Key Concepts
Open Business Models (in general)
Read: Open vs Closed Platforms as Business Choice.From a dialogue between Jonathan Zittrain, a professor of Internet law at Harvard Law School, and Mark VandenBrink, who leads Frog Design, conducted by Mr. Sherr and Mr. Totty. [1]
- A recent overview by Lars Zimmerman: Business Models for Open Source Hardware & Open Design
Concepts:
- Open Business ; Open Business Models
- Commons-Based Business Models ; Business Models for the Commons
- Online mindmap overview by Robin Good: Online Business and Monetization Models
See also:
Open Culture Business Models
Seven Main Business Models for Open Culture
1. Crowdfunding: pre-financing cultural production by fans, with commitment to keep cultural work open; ex. Kickstarter Ulule KissKissBankBank
2. Crowdsourcing: i.e. opening up contributions to the public
3. Disintermediation strategies: shortening the supply chain between production and consumption; example BandCamp for music
4. Double diffusion: free digital works , but sale of physical works (ex. Cory Doctorow)
5. Freemium: basic version free, added-value versions for sale
6. Models based on commercial restrictions, but free to share non-commercially (CC non-commercial, Copyfair, FairlyShare
7. Gift Economy models, 'pay-what-you-want'; example Humble Bundle for games
More Information
- Cultural Flatrate
- Platform-Centred_Business_Models_for_Cultural_Production
- Project-Based_Business_Models_for_Cultural_Production
- User-Generated Content - Business Models
- Open Content Business Models
See also this overview of Open Content Business Models:
- Mindmap of open art and culture business models, by Lionel Maurel, in French
Open_Design_Business_Models
- Who pays the designer? Open Design Business Models. By Lars Zimmerman, in German.
Open Education Business Models
See:
- Economic Models Around Free Educational Materials [4]
- Models for Sustainable Open Educational Resources. Stephen Downes [5]
Open Energy Business Models
The three forms of distributed finance for distributed energy:
- Leasing, e.g. Solar Leasing Financial Model
- Community Power, e.g. Community Solar Financial Model
- Power Purchase Agreements, e.g. Solar Power Purchase Agreements
Open Software Business Models
See: Taxonomy of Open Source Business Models
- Open Core Business Model
- Open Source Business Models
- Open_Source_Software_Business_Models
- Open Source Software Service Model
- Free_Software_Business_Models
- Open Source Software - Business Aspects
- Open Source Commercialization
- Open_Source_as_Business_Strategy
Open Hardware Business Models
Open Media Business Models
- Business Models to Support Content Commons
- Open Access Publishing Income Models
- Open Music Business Models
- Open Film Business Models
- Social_Media_Business_Models
Crowdsourcing Business Models
Related Categories
Comparative Table: The Logic of the Market versus the Logic of the Commons
Market | Commons | |
Focus |
What can I sell?Exchange value |
What do we need?Use value |
Core beliefs | Scarcity | Plenty |
Homo oeconomicus | Homo cooperans | |
It's about resources (allocation). | It's about us. | |
Governance | Market-State | Polycentric / Peer-to-Peer Governance |
Decision making | hierarchical | horizontal |
Command (Power, Law, Violence) | Consensus, Free Cooperation, self-organization | |
Social relationships | Centralization of power (monopoly) |
Decentralization of power(autonomy) |
Property | Possession | |
Access to rival resources | Limited by boundaries & rules defined by owner | Limited by boundaries & rules defined by usergroups |
Access to nonrival resources | Made scarce (to ensure profitability) | Open access (to ensure social equity) |
Use rights | Granted by owner | Co-decided by user groups |
Dominant strategy | Out-compete | Out-cooperate |
Results | ||
For the resources |
ErosionEnclosure |
Conservation Reproduction & Multiplication |
For the people | Exlusion & Participation | Inclusion & Emancipation |
Citations
Open Source is Benefit-Driven, not Revenue-Driven
"That's the bottom line. Open source projects are not products intended to produce revenues. It is a mistake to think of them that way. Open source software is developed in order to satisfy a need, one typically experienced by the developers themselves, and an open source project is not a commodity, it is a community. Yes, people need to earn money in order to live. This is true for every single person that works on open source projects. But making money from the open source product itself is very much the exception, not the rule, and depends on a lot of things falling into place."
- Stephen Downes, [6], p. 54
Openness requires Sharing
"Business models that employ the word "Open" are really incomplete if they are solely focused on what happens with revenue (even if that focus is related to sharing of revenue).
The part of the model that is unique to each business entity or group is: "what is shared?"
Based on the questions "what is shared?", or "what can be shared?" the business model can evolve per business to include many types of sharing. This is mostly limited to what the participants are *willing* to share together as a group."
- Sam Rose, June 2010
The Beekeeper Model
"The Bee Keeper creates an environment that is attractive for bees: accommodation and a natural, food-rich habitat. The bees do what they do naturally and make honeycombs. The Bee Keeper sells the honey and bees-wax to his customers and uses the money to grow his bee farm."
- James Dixon [7]
Key Resources
Key Articles
- From Firms to Platforms to Commons. By Esko Kilpi.
- The must-read trilogy with an overview of the literature and experience until 2011 is from Massimo Menichelli:
- Two classic essays are:
- Frank Hecker. Setting Up Shop
- Bruno Perens. The Emerging Economic Paradigm of Open Source
Also:
- Value Derived from Open Source is a Function of Maturity Levels: excellent presentation with many overview tables
- Sustainability of FLOSS-Based economic models presentation by Carlo Daffara which focuses on the role of firms.
- Open Source Software and the Private-Collective Innovation Model. Eric von Hippel and Georg von Krogh
- Quantifying the Value of Open Source Hardware Development. Methods developed by engineer Joshua M. Pearce to calculate the value of designs that can be P2P manufactured using digital technology.
- Recommended Resources by Tony Bailetti:
- Open Source is not a Business Model
- Open Source Business Model is "Broken". Really?
- Open Source: The Model is Broken
- Licensing and Business Models
- What Vendors Really Mean by Open Source
- Clarifying Business Models: Origins, Present and Future of the Concept
Report:
- New Economic Models, New Software Industry Economy. By RTNL, the French National Network for Software Technologies.
Book chapters:
- Economics of open source, at http://mitpress.mit.edu/books/chapters/0262562278chap3.pdf
- Open source as user innovation – von Hippel, at http://mitpress.mit.edu/books/chapters/0262562278chap14.pdf
- Analysis of OS Business models, at http://mitpress.mit.edu/books/chapters/0262562278chap15.pdf
- Allocation of resources in OS mode, http://mitpress.mit.edu/books/chapters/0262562278chap16.pdf
- Open Source as a Business Strategy, by Brian Behlendorf, at http://www.oreilly.com/catalog/opensources/book/brian.html
Other Research:
- Appropriating the Commons: Firms in Open Source Software. Linus Dahlander.
- Open Source and the software industry. How firms do business out of an open innovation paradigm. By Andrea Bonaccorsi, Monica Merito, Cristina Rossi, Lucia Piscitello.
Cases:
- Mozilla/Apache case studies, at http://mitpress.mit.edu/books/chapters/0262562278chap10.pdf
- Microsoft shared source, http://mitpress.mit.edu/books/chapters/0262562278chap17.pdf
Financing:
Key Books
- The Mesh: Why the Future of Business is Sharing Lisa Gansky. Portfolio / Penguin Group, FALL 2010
- What's Mine is Yours: The Rise of Collaborative Consumption, by Rachel Botsman and Roo Rogers (Fall, HarperCollins), 2010
- Philippe Aigrain. Sharing: Culture and the Economy in the Internet Age. Amsterdam Univ. Pr., 2011: "What if we consider that sharing a digitally published work in one's possession with other individuals is a fundamental right? What if we break away from the idea of compensating the entertainment right holders for supposed harms resulting from sharing? What is a reasonable reward and financing model for sustaining a many-to-all cultural society?
Key Courses
- Economic Aspects of Free Software : free course from the Free Technology Academy of the Free Knowledge Institute [8]
Key People
Owen Greaves recommends the following experts on open business models [9]:
1.) Gerd Leonhard – http://www.mediafuturist.com
2.) Glen Hiemstra – http://www.futurist.com
3.) Chris Brogan - http://www.chrisbrogan.com
4.) Olivier Blanchard - http://thebrandbuilder.wordpress.com
5.) Trey Pennington – http://www.treypennington.com
6.) Scott Stratten - http://www.un-marketing.com
7.) Louis Gray – http://www.louisgray.com
8.) Jeff Jarvis – http://www.buzzmachine.com
9.) Chris Anderson – http://www.thelongtail.com (Of Wired Magazine)
10.) Ross dawson – http://rossdawson.com
Key Podcasts / Webcasts
- Mark Shuttleworth on the Business Ecology of Ubuntu
- Business Models for the Commons: Panel at the Wizard of OS 2006 conference: Video [10] and Audio [11]
- SXSW Talk on Commons-Based Business Models
Pages in category "Business Models"
The following 119 pages are in this category, out of 365 total.
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- Open Source Hardware Reserve Bank
- Open Source Licensing Strategies
- Open Source Software - Business Aspects
- Open Source Software Business Models
- Open Source Software Service Model
- Open Source Support Vendors - Business Models
- Open Source Venture
- Open vs Closed Platforms as Business Choice
- Opening Borders Project
- OSHW 2010 Summit Panel on Open Hardware Business Models
P
- P2P Carsharing - Business Models
- P2P Filesharing Improves Music Sales
- P2P Microfinance - Business Model
- P2P Models
- Paid Usership
- Pandora
- Panel on Collaborative Consumption Businesses
- Panel on New Business Models
- Panera Bread Pay-What-You-Can Store
- Participative Business Models
- Passion Economy Platforms
- Patreon as Funding Mechanism for Open Source Developers
- Pay As You Live
- Pay Never Business Model
- Pay-by-the-Word Content Marketplaces
- Pay-it-Forward Peer-to-Peer Generosity
- Peer Production - Funding
- Peer Production Entrepreneurs
- Peer-To-Peer Accommodations Market
- Peer-to-Peer Squads
- PeerTracks
- Personal Economic Neighborhoods
- Personal Manufacturing - Business Models
- Philippe Aigrain on A Self-Standing Financing Model to Help Sustain the Non-Market Digital Commons
- Phyles
- Piracy as a Common Business Model for Fashion Design
- Piracy as Marketing
- Planet Steem
- Platform Capitalism
- Platform Design Canvas
- Platform-Centred Business Models for Cultural Production
- Podcast Fiction
- Post-DRM Open Content Business Models
- Power Purchase Agreement
- Pragmatic Critique of the Peer Production License
- Pre-Pay Methods of Financing
- Pre-Selling
- Private-Collective Innovation Model
- Problems and Strategies in Financing Voluntary Free Software Projects
- Produce Purchase Agreement
- Product Discounts
- Productive Paradigms in the Digital Era
- Project-Based Business Models for Cultural Production
- Promoting and Assessing Value Creation in Networks
- Proposal for a Guild-Based Business and Governance System for the P2P Economy
- Public Goods Enterprise
- Publication Fees in Open Access Publishing
R
- Rachel Botsman on Collaborative Consumption Business Models
- Rainforest Business Ecosystems
- ReBUS
- Red Hat
- Regenerative Enterprise
- Resource Efficient Business Models
- Rethink Music
- Return of Principal Only
- Revenue Based Financing
- Revenue Models
- Revenue Models for the Public Domain
- Revenue Sharing
- Reverse Bounties
- Reverse Syndication
- Richard Esplin on Open Source Cooperative Models for Software and Technology
S
- Safe-Xchange
- Scoped Basic Income
- Self-Determined Pricing
- Self-Determined Transactions
- Seva Cafe
- Shared Community Investing
- Sharing Companies Should Be Cooperative T-Corporations
- Sharing Economy - Business Models
- Simple Economics of Open Source
- Small is Profitable
- Snowdrift
- Social Franchising
- Social Media Business Models
- Solar Cooperatives
- Solidarity Franchising
- Solving Liquidity Issues for SME's Through Mutual Credit Systems such as Sardex
- Some Remarks on Open Business Models and the Economy of the Commons
- Stream To Own
- Strongly Sustainable Business Model Group
- Sustainability of Free and Open as Key Political Issue
- Sustainable Local Entreprise Models
- Switching Costs
- SXSW Talk on Commons-Based Business Models
- Synthetic Overview of the Collaborative Economy
- Systemic Coalitions
T
- T-Corporations
- Tadge Dryja on Funding Open Source Development
- Taxonomy of Open Source Business Models
- The Open Source Business Resource
- Threadless - Business Model
- Tidelift
- Time-Based Revenue-Collecting Models
- Tokenization as Business Model
- Tokens as a Model for Community Acquisition
- Treshold Pledge Systems
- Tribute
- Turksourcing