With the decision of the New York Times to move to an online subscription model, I thought it timely to repost a piece I wrote in April 2009 on why free is not always a good business model.
In late February 2009 at the Future of Web Apps conference, Jason Fried of 37signals “stressed to the Web app developers and entrepreneurs in attendance that they need to start charging for their applications and that free is not the way to go.”
Are you one of the many solo-entrepreneurs and small business owners that actively seek out and use, free applications for your business? Budgets are tight and if you can get what you need for free, why not? I see a few problems with assuming that “free is better for business.” Let’s start with the root issue.
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