By Hans-Bernd Kittlaus
ISBN-10: 3540012184
ISBN-13: 9783540012184
Software product administration and pricing are key good fortune components for any association delivering software program, be it a software program corporation or a company chargeable for software program in an organization that belongs to another undefined. After defining the time period "software product" and searching on the enterprise and organizational facets, the middle parts of software program product administration and pricing are mentioned. suggestions are given on the right way to care for those parts reckoning on sorts of firms and items which will in attaining the long term success.
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There is one positive outcome: The executives of the IT organizations – whether outsourced or not – have gained a much stronger entrepreneurial view of their organizations. Business units are considered more as customers than as solicitors. The willingness to understand and manage the offerings as products and services has increased. This has made these IT organizations and software vendors more similar so that software product management has started to be accepted as a useful concept by the corporate IT organizations as well.
In particular when the economy is bad and product sales are down, the importance of this income for the survival of a software vendor becomes obvious. That is why maintenance fees and even more so the pricing model of Monthly License Charge (MLC) for mainframe software where there is no large up-front payment, but smaller monthly payments, have been a pleasant pillar for IBM for a long time since it results in a more balanced, smoother revenue stream (see chapter 5). The stock market deplores nothing so much as unpredictable earnings.
Of course, an extremely dissatisfied customer is likely to switch to a different product and producer. Conversely, a high degree of customer satisfaction will not guarantee that a customer will not switch to a different product or producer. g. technology leapfrog) or one is very dissatisfied with the current product is it worth the risk of changing. So there is value in customer satisfaction, and it is definitely an important factor to be taken into consideration. 5. In certain situations and with some products, software product management does not focus primarily on profits attributable to a single product.