Question 3: The creation of the Internet rapidly increased the ability of companies to succeed in business with a freemium revenue model. This Application Assignment has two parts. Part 1 is to identify a company that offer free products or services. For this company identify the following: • The company and what is provided free? What services and/or products cost additional money? Which of the following three types of free financial models do they represent and why: Direct cross- subsidies, Multi-Party Markets, The freemium model. In Part 2 you will take one of your own business ideas and imagine it with a freemium revenue model. For your own idea please address the same points as in Part 1. The company and what is provided free? • What services and/or products cost additional money? Which of the following three types of free financial models do they represent and why: Direct cross- subsidies, Multi-Party Markets, The freemium model.

Fig: 1