Research On Profit Model Innovation Of Internet Education Enterprise

With the advance of the development of the Internet and information technology in education reform,the educational field of our country emerged a large number of Internet education enterprise.However,most of the enterprises in Internet education often unable to find a suitable profit model or profit model can't adapt to the market environment of the Internet,resulting in enterprise development stagnation or even bankruptcy,profit model innovation become important issues for enterprise development in the Internet education.Currently at home and abroad to the profit model is mainly from the value chain,value net perspective,but there is no in-depth study of Internet education enterprise profit model from the external network and the bilateral market theory.This paper will select the Internet education enterprises as the research object,based on network externality theory,the theory of two-sided market and the long tail theory.Through the analysis we found that the core competence of the current Internet education enterprise is lack of effective stakeholder structure and pricing structure is similar to the Internet education business.This paper argues that the innovative profit model of Internet education business can with network externalities,the two-side market theory as the theoretical foundation of innovation.Through the Internet education product innovation,making the pricing structure tilt,improving the transfer cost of users,we can expanding the user scale,enhance the positive network externality,then improving the core competence of profit the mode of Internet education enterprise.Therefore,network externality theory,the theory of two-sided markets is the basis of profit model innovation,product and pricing is the way to realize the innovation of the profit model,and enhancing the core competitiveness and achieving sustained profitability is the profit model innovation.