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Let's start by examining some communities. Most of us live in one. We joined by moving there and we pay taxes to stay members. For our taxes we receive certain services. We may belong to professional associations which offer services tailored to the particular profession and charge corresponding fees. We may also belong to clubs which again provide services in exchange for membership fees. In some cases the services or benefits may be quite intangible, such as in the case of a prestigious golf club, but the members obviously think they are getting good value or they would quit.
Communities such as the above are characterized by membership, regular use and fees for services and benefits. Membership in particular means having a stake in the organization in the sense that members have influence in shaping certain aspects of the community. The above models are easily transferred to the Internet. Communities do not need the physical presence of the members to exist. One of the oldest virtual communities which proved that the concept is feasible is The Well. The model is that of a traditional non-virtual community - you pay fees and get services in return. The services offered by The Well and similar virtual communities are fairly limited - mostly information and discussions - and the fees charged are low. If we look back at non-virtual communities again, we can see the potential for much greater benefits. Professional associations have taken advantage of their numbers and similarities to obtain favourable terms for all kinds of products such as insurance, loans and even gasoline. Would a virtual community of 10,000 small-business people be of interest to various suppliers to that market? Business development, marketing and billing take up a substantial portion of a supplier's income. What if the small business virtual community took over all these functions for products of interest to its members? What if members were encouraged to take part by getting not only a better price for these products but by getting a share of any profits? The key to the whole concept is members. A minimum number is required to make the whole thing feasible. That's why Suite 101 needs members. Go To Page: 1
The copyright of the article The Business of Virtual Communities in Small Business is owned by . Permission to republish The Business of Virtual Communities in print or online must be granted by the author in writing.
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