Thursday, July 8, 2010

Software Business

Software Business is the profitable activity of the software industry, aimed at producing, buying and advertising software products or software services.

The business of software differs from other businesses, in that its main good is indescribable and fixed costs are high while va Cusumano and Nambisan divide software companies into service and product companies according to how they conduct business costs are close to zero

Software services business can be categorized into following categories:Companies that afford consultation services associated to software business and Companies that offer software development services as a subcontractor.Characteristics of Service Operation that are suitable to software services industry are Intangibility ,Perishability,Heterogeneity.