Free: The Future Of a Radical Price by C. Anderson
In this book Anderson makes the case that in many instances businesses can profit more from giving things away than they can by charging for them.
The costs associated with the growing online economy are trending toward zero at an incredible rate. Never in the course of human history have the primary inputs to an industrial economy fallen in price so fast and for so long. The traditional economics of scarcity just don’t apply to bandwidth, processing power, and hard-drive storage.
Yet this is just one engine behind the new Free, a reality that goes beyond a marketing gimmick or a cross-subsidy. Anderson also points to the growth of the reputation economy; explains different models for unleashing the power of Free; and shows how to compete when your competitors are giving away what you’re trying to sell.
I strongly advise you to take a look at this book!