The role of original equipment manufacturers in software distribution

• Author: Hertanu, A. - Boitor, A.-B.
• Position: PhD Student, Dept. of Economic Sciences and Business Administration, Transilvania University of Brasov
• Pages: 59-64

Bulletin of the Transilvania University of Braşov • Vol. 5 (54) •No. 1 - 2012

Series V: Economic Sciences

THE ROLE OF ORIGINAL

EQUIPMENT MANUFACTURERS IN

SOFTWARE DISTRIBUTION

A. HERANU1 A.–B. BOITOR1

Abstract: The software distribution channels are having a significant

impact on the mix of marketing not only for big companies in this domain,

but also for small companies that activate in this domain. The Original

Equipment Manufacturer’s distribution channel it’s having a significant

impact on the marketing strategy of different companies. If the traditional

distribution channels are still used to, the OEM’s channels are used more

and more to distribute the software products or services not only to the

segment of consumers formed by companies, but also to the segment of

costumers formed by individual users.

Key words: consumer, distribution, Original Equipment Manufaturer,

software.

1 PhD Student, Dept. of Economic Sciences and Business Administration, Transilvania University of Braşov.

1. Introduction

Software field has grown considerably in

the last 20 years. If at the beginning, the

computers and operating systems segment

was divided between three giants in the

field, software today covers a wide range

of segments, from operating systems,

enterprise applications, entertainment

applications, networking, video games,

online networks and so on. These segments

are captured by a large number of

companies, their presence becoming

stronger both globally and nationally.

Software market is very dynamic and

interactive. This is evidenced by a large

number of participants and the success that

small companies have very quickly in this

area since their market entry. Technical

innovation in this field, played by strong

market growth, increases the competition

in software markets, a leading competition

automatically increased emphasis on

placing innovation and shortening of

product life cycle.

2. Combination of software and

hardware products

By the time of the first minicomputer,

software and operating programs were

supplied with the products of large

hardware manufacturers. This distribution

channel which consists of OEMs (Original

Equipment Manufacturers), appeared first

in the software industry and is the largest

spread and used, today being one of the

most important distribution channels of the

software market.

Original Equipment Manufacturer refers

to a company that acquires, for use in their

products, a component made by a second

company. Under this definition, if

company A buys company B's software to