The Importance of Business Model Factors for Cloud Computing Adoption: Role of Previous Experiences

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Abstract

Background and Purpose: Bringing several opportunities for more effective and efficient IT governance and service exploitation, cloud computing is expected to impact the European and global economies significantly. Market data show that despite many advantages and promised benefits the adoption of cloud computing is not as fast and widespread as foreseen. This situation shows the need for further exploration of the potentials of cloud computing and its implementation on the market. The purpose of this research was to identify individual business model factors with the highest impact on cloud computing adoption. In addition, the aim was to identify the differences in opinion regarding the importance of business model factors on cloud computing adoption according to companies’ previous experiences with cloud computing services.

Methodology: Based on literature review, prior research results, and interviews with cloud computing providers and users, a research model was developed. Statistical analysis focused on identification of factors’ importance on cloud computing adoption and differences in opinions according to respondents’ previous experiences with cloud computing services. The study was done among 80 companies and five major cloud computing providers in Slovenia.

Results: The research results reveal statistically significant differences in opinions on the importance of cloud computing business model factors according to respondents’ previous experiences with cloud computing services. The results can provide orientation for redesign or innovation of existing business models towards the creation of a customer-oriented business model for the more successful exploitation of cloud computing services and business opportunities. For potential users, the findings represent guidelines for the successful adoption of cloud computing services.

Conclusions: In our research, the investigated business model factors could be classified into so-called “business model organizational factors”, as they primarily need to be considered by cloud service providers when defining or innovating their business models. For future research, the model should also include the impact of environmental factors, such as Competition, Business Partners, Legislation, Economic Situation, in order to investigate their impact on cloud adoption.

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