Freeware As An Advertisement

Niem Le Duc ()
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Niem Le Duc: Department of Economics, Tay Nguyen University, Vietnam.

No 5, Working Papers from Development and Policies Research Center (DEPOCEN), Vietnam

Abstract: This paper examines the situation in which a monopolist offers freeware as an advertisement to increase the demand in order to maximize profit even though the existence of such freeware will reduce the power of the monopolist in the market. We prove that the successful application of freeware is dependent on the number of potential consumers and there exists an optimal quality design for freeware in this situation.

Keywords: Freeware; Software; Advertisement (search for similar items in EconPapers)
JEL-codes: D42 D83 L86 (search for similar items in EconPapers)
Pages: 9 pages
Date: 2011
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Persistent link: https://EconPapers.repec.org/RePEc:dpc:wpaper:0511

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