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    Principles of Marketing: explained citing Linux, Netscape

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    The seminar uses Linux as an example of a company that understands competitive positioning. How can companies offering "free" products (e.g., Linux, Netscape) make money from these products? How can other companies compete with these fast-rising standard products?

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    Solution Preview

    Companies offering FREE software products like Operating Systems or applications like webbrowser, etc generally make money in the following ways:

    1. Donations from the users.

    2. By charging for support of the product. (e.g., Redhat, Sun)

    3. By charging for providing enhancements to customers based on their requirement or customisation. (Customisation an OS/application for a particular customers for their business)

    4. By providing training on using the product. (e.g., Redhat)

    5. By ...

    Solution Summary

    Solution clearly explains the principles of marketing and the discusses different ways by which companies that provide FREE software make money.