Test of ‘Free’ in a Business Model: An Empirical Study

Abstract

The event, Odissi International 2013, running through its fourth year, is the annual union of global Odissi dancers in Bhubaneswar, Odisha. This Indian classical dance has gained popularity far and wide, evidenced by participation from 227 dancers from 15 countries, who have converged on the land of Odissi to showcase their style, depth, finesse and creativity in Odissi dance performance. Shyamhari, the person who started the dance event wondered if his new revenue model of collecting participation fee from the performers is more sustainable than his previous model of providing a free platform for Odissi dancers. It was his personal relationship and goodwill that he nurtured over two decades that was pulling dancers to participate in the first place. By charging them now, is he jeopardizing the goodwill and thus the sustainability of the event? The paper takes the example of Odissi International and tries to explain the consequences of (not) charging a participation fee for event, such as the event‘s future, and the credibility of the event, reaction of the participants and the spectators. The paper outlines both the business models—dance event without a participation fee versus the dance event that charges a participation fee—taking the empirical subject of Odissi International. After due comparison of both the business models, the test (effect) of Free‘ is conducted with respect to the sustainability of the event. The critical feedback loop (virtuous cycle) is explained in light of the study to ascertain the issue of sustainability with the help of the test of free.

Keywords: Business Model, Test of Free, Positive Feedback Loop, Sustainability, Indian Classical Dance, Odissi

Australian Academy of Business and Economics Review, vol 1, issue 2, October 2015, pp 135-145