PMI Online Business

When you purchase computer software from a store or download it from a website, it comes in a “compiled” format. This means that the source code created by the developer has been run through a program which translates the code into a format your computer can understand. This compiled code is nearly impossible to modify, which protects manufacturers from others stealing their products. Another name for such software could be “closed source,” because the source code is protected and inaccessible to common users.

On the flipside you have open source software, which makes the source code available to the public. This means that users can modify it and distribute it freely. In fact, this interaction is encouraged by the creators. So why would anyone take the time to create software and then give the public the opportunity to alter it and distribute it free of charge? Software developers who support the open source model believe in a collaborative effort and welcome the improvements and corrections that will come from the technological community. In this way, open source software is a direct response to the tightly guarded, and often flawed, software created by commercial companies like Microsoft.

Although some people might fear rampant abuse from such free reign, open source software is valued and respected by the programmer community. Contributors aren’t motivated by financial gain and sincerely attempt to improve it for others. This peer review system produces bug-free products that rival commercial software in their design and capabilities.

Digital products are goods or services that a customer receives directly on an electronic device such as an MP3 player or computer. Examples are software, e-books and games. In the last few years, digital products have grown from a tiny portion of the retail market into a major source of income for entrepreneurs. While physical products, such as fishing poles and iPods, can be an excellent source of income, digital products offer unique benefits. The experts from Professional Marketing International have compiled this list highlighting the advantages of digital products over physical products.

1. No shipping. Because digital products are downloaded directly to the customer’s computer, there’s no inventory and shipping to worry about. You can create one product and then sell it as many times as you like. This means that the warehouse and shipping issues related to many physical products will not be a concern for your business.
2. Minimal customer service. There will be occasional questions about downloading and file formats, but customer service for digital products is generally minimal. You won’t have to deal with product returns – if a customer is dissatisfied with your product, you just refund their money and you’re done with it.
3. The business runs itself. Unlike a brick and mortar store with closing hours, your online products will be available 24 hours a day, seven days a week. This means that you can potentially make money while asleep or out of town on vacation.
4. Big profit margins. One of the biggest advantage of digital products is the profit margins are significantly higher than they are with physical products. With digital products it is much easier to reach profitability. And if your product doesn’t sell well, your losses are much smaller than with physical products, where you run the risk of being left with thousands of dollars of unsold inventory.