Work detail

Revenue price model and binary demand function with application to software pricing

Author: Mgr. Michal Lipták
Year: 2015 - summer
Leaders: Ing. Ivo Koubek
Consultants:
Work type: Finance, Financial Markets and Banking
Masters
Language: English
Pages: 69
Awards and prizes:
Link: https://is.cuni.cz/webapps/zzp/detail/147384/
Abstract: This thesis is attempting to lay the theoretical foundations for
a not yet sufficiently researched field of information good. It is analyzing
the market supply and demand relation of two producers, where
both are on the opposite sides of the software or similar information
market, based on very specific market environment. It is using the rational
consuming producer’s choice and a specific set of assumptions
to find the optimal price and quality of exchanged information good.
Special care is taken in replacing the consumer from classical relationship
with another producer in the formula. The thesis shows that when
the specific conditions are met, then the price of information good is
directly determined by the revenue provided to the buyer, where, from
the consuming producer’s perspective, the revenue is given by the input
savings in the production process stemming from the acquisition
of the software.

Partners

Deloitte

Sponsors

CRIF
McKinsey
Patria Finance