Kyle Peterson

CH2

ITS-380

2/10/17

 

Case Study

1.      Pandora’s new business model is much better than its last predecessors! It now gives users basically free listening at the expense of having to listen to an ad here or there. Of course there is also an option to go up to premium for a small cost. The whole example I gave earlier is freemium, while free is more limited to small durations of listening or usage.

2.      There is the premium option that I believe removes ads, allows for unlimited skips, and I believe might allow you to search for songs.

3.      It all depends on what the benefits of the freemium “membership”, obviously some are better then others. In the event of Mailchimp it probably had a much better service then Ning did. Also when it comes down to receiving revenue Mailchimp probably did the freemium better, having the right amount of ads, and a larger customer base choosing to move up to premium.

4.      Having a good service for one, it’s important to make it worth upgrading. However the free service should not be restricting. Also generating money through advertisements is very important. Advertisers will pay big money to get there ads out there if a lot of people are seeing it.

Assignment Questions

One: A business model is a structure in which a business is conducted, a business plan is how this structure will be performed and all of the brains behind the operations. Both of these are important in their own ways, and each one is necessary in order to keep a business running smoothly.

Five: It allows you to fine tune advertisements for specific customers, rather than a large group. This allows for a better optimized advertising experience for users. A great example of this would be advertising to someone who likes fishing using fishing advertisements, rather than showing something like insurance or something like that.

Ten: They can change, and most companies are so vast that they could be put into two different categories. For example companies like amazon or even Facebook could be fit into numerous different categories.

Fifthteen: Portals require accounts, mostly paid in order to view their content. Exchanges are more of a one-time exchange, while portals are more subscription based.

Twenty: Crowd funding allows the public to invest in a product without having to jump through a bunch of hoops. The public often crowdfunds things that they like, in return user that crowdfund often times receive the product at a discount. Most of the time the product is also of a better quality then it would initially be had it not have been crowdfunded.

Project

Traditional allows you to actually go into an area that involves sales reps, they often times harass you while you try and purchase said item. The plus side is you can ask questions to pesky sales reps, you can also hold and examine the physical item. It also makes comparing prices simple to other items around the camera. Returns are also easier.

Shopping online however allows you to easily compare thousands of different cameras, without being harassed by those damn pesky sales reps. Also it allows you to truly do research on specs and get the best bang for your buck. Also there is the helpful rating system that will tell you if customers have had a bad experience with the company/product in the past. Only downside is returns can be tricky.