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Cloud Computing as the Next Utility: Market Strategies for Cloud Service Providers

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  • Alexander Bogislav Herzfeldt

    (Technical University of Munich, Germany)

  • Hans Peter Rauer

    (Bielefeld University of Applied Sciences, Germany)

  • Reimar Weißbach

    (Massachusetts Institute of Technology, USA)

  • Christoph Ertl

    (Technical University of Munich, Germany)

Abstract

Cloud computing has become the dominant provisioning model for IT services. This research adopts the provider's perspective to explore profitable service provisioning strategies: industrialization and standardization vs. service individualization. Based on a survey and expert interviews among cloud service providers, the authors identify that focusing on service individualization does not pay off for cloud service providers. Instead, cloud service providers should adopt industrialization and automation. Even more, they find that exploitation mechanisms of organizational learning significantly improve the cloud service profitability.

Suggested Citation

  • Alexander Bogislav Herzfeldt & Hans Peter Rauer & Reimar Weißbach & Christoph Ertl, 2020. "Cloud Computing as the Next Utility: Market Strategies for Cloud Service Providers," International Journal of Cloud Applications and Computing (IJCAC), IGI Global, vol. 10(4), pages 28-47, October.
    • Handle: RePEc:igg:jcac00:v:10:y:2020:i:4:p:28-47
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