Question

Iver Audio is an all-in-one music management tool that was first marketed in 1999. Most users can use the Basic version that is free, but a $19.99 upgrade provides extra features such as supertagging, faster ripping and burning. Which of the following explains this approach for applying freeconomics?a. gift economy approachb. cross subsidies approachc. zero marginal cost approachd. labor exchange approache. freemium approach

Answer 1

Answer: e. freemium approach

Explanation: As Iver Audio can be completely functional in its basic version, most users won't need to use the extra features. But for someone that will need them, the $19.99 upgrade will worth it because the extra features can be a lot useful. Furthermore, anyone using the "free" version can switch to the "premium" version after liking the program and its features. But of course, that decision it's up to the user.