Research On Pricing Game Between SWS And SaaS Considering Free Strategy

With the development of the global "cloud first" idea and the impact of the 2020 epidemic,the country has put forward higher requirements for "enterprise cloud",and the recognition of Software as a Service(Saa S)services by small and medium-sized enterprise users in my country has gradually increased.Saa S services It will usher in the next golden decade.But behind the rapid growth in demand for Saa S services,there are a series of problems such as unbalanced market development,immature use of free strategies,and mismatch between demand and revenue growth.At the same time,the Shrink-wrap Software(SWS)that has been impacted by the Saa S service model has not completely withdrawn from the market,and will still have an impact on the pricing of Saa S service providers.Therefore,according to the development history of Saa S services,this article studies the pricing of Saa S service providers from three different market structures: SWS provider market dominance,Saa S provider market dominance,and dual Saa S provider competition.First of all,this article sorts out and analyzes the development status of Saa S services and related theories.After integrating related theories,the key influencing factors are defined as free strategies,transfer costs and network externalities,and the research methods are determined to be Stackelberg game and Hotelling model.And through numerical simulation to deal with the overly complex calculation results.Then,by constructing pricing models for SWS software providers and Saa S service providers,a research framework for Saa S services in different market positions under different market structures is formed.Finally,analyze and organize the model to form the conclusions and recommendations of this article.The model analysis found that:(1)Under the structure of the Saa S monopoly market,when the network externality and the discount rate of free service quality are both at the appropriate threshold,providing a free strategy is conducive to the long-term benefits of the enterprise.(2)When Saa S enters the SWS software monopoly market as a new entrant,Saa S must choose an appropriate free service discount rate and have strong risk response capabilities to make up for the previous profit and loss when entering the market.(3)In markets where all users of SWS software choose to upgrade,Saa S services should reduce their own transfer costs,while in markets where some users upgrade,Saa S services should increase the transfer costs of existing users.When Saa S service providers have market advantages,they can choose not to provide free strategies to ease market competition.(4)In the short term,providers can choose homogeneous competition to split the market equally to achieve equilibrium.(5)In the long run,early-stage low prices are conducive to the formation of long-term market share,and superior Saa S companies with high compatibility will have higher market competitiveness,and it will be more advantageous for weak Saa S companies to choose low-compatibility and differentiated development.