I think a big part of the entitlement problem is not being clear about the business model, or positioning oneself to take advantage of it.

One key thing is, I think, to advertise services and ways of making money. IOW, giving people the option to get new features, etc. is an important thing.

There is a lot of solid FOSS out there: PostgreSQL, BSD, Linux, CUPS, and more all come to mind. These often are less sexy than heavily marketed, inferior counterparts. But these all also have solid business models attached.

I highly recommend that folks who start open source software look around at business models surrounding the better open source products and see what they can do to capitalize on that.