CHAPTER TWO 13 Literature Review 04/18/2021 Introduction Cloud computing is taking a central position in many small and medium-sized organizations in Europe after the European Union emphasized improving information and communication technologies. Studies reveal that some small and medium-sized companies opt for other cheaper information communication alternatives due to resource limitations. They may not choose information systems that require a considerable amount of financial resources. A study by (Zissis & Lekkas, 2012) argues that cloud computing involves keeping the infrastructure, data, and applications on the internet to be managed by service providers. The use of cloud computing puts the globe precisely at the fingertips of users. It has elevated competitiveness in the business world and challenges managers to take a strategic move and grab the associated opportunities associated with cloud computing. With its advantages, it is a promising solution for businesses of all sizes. Comment by Brenda Schrantz: Unnecessary word. Research identifies the key advantages of cloud computing: increased innovation and collaboration, time and cost efficiency, scalability, flexibility, and quick retrieval of data if there is an emergency. Nevertheless, cloud computing is also linked to security and confidentiality matters, compliance challenges, lack of control, and switching costs (Sharma et al., 2017). Over the past few years, cloud computing's adoption has become increasingly significant, considering the internet is one of the most developed infrastructures across the world. Research has also revealed that regardless of the seeming benefits, cloud computing adoption is still unsuccessful in some companies. The potential and benefits of cloud computing are evident, and several empirical studies evidence the progress of adoption in different sectors. This paper analyses existing literature on the aspects that impact cloud computing adoption. Comment by Brenda Schrantz: Sentence fragment The TOE model will be used as the theoretical framework upon which the hypothesis will be tested. Purpose of Review The drive of this review is to get insights into present literature and debates that are relevant to the research topic. It will present the current knowledge that will lead to an understanding of the variables in the research. As a researcher, this review will help build the knowledge base and learn important concepts such as research approaches and methods and experimental techniques. The review will also be resourceful because it teaches the researcher how to apply knowledge in solving real-world problems. By reading existing literature, the researcher will understand the presentation of research findings, making one a better researcher and research writer. Comment by Brenda Schrantz: Series...."research approaches, methods, and experimental techniques." This review will also enable the researcher to understand the community's ...

1. CHAPTER TWO 13
Literature Review
04/18/2021
Introduction
Cloud computing is taking a central position in many small and
medium-sized organizations in Europe after the European Union
emphasized improving information and communication
technologies. Studies reveal that some small and medium-sized
companies opt for other cheaper information communication
alternatives due to resource limitations. They may not choose
information systems that require a considerable amount of
financial resources. A study by (Zissis & Lekkas, 2012) argues
that cloud computing involves keeping the infrastructure, data,

2. and applications on the internet to be managed by service
providers. The use of cloud computing puts the globe precisely
at the fingertips of users. It has elevated competitiveness in the
business world and challenges managers to take a strategic
move and grab the associated opportunities associated with
cloud computing. With its advantages, it is a promising solution
for businesses of all sizes. Comment by Brenda Schrantz:
Unnecessary word.
Research identifies the key advantages of cloud computing:
increased innovation and collaboration, time and cost
efficiency, scalability, flexibility, and quick retrieval of data if
there is an emergency. Nevertheless, cloud computing is also
linked to security and confidentiality matters, compliance
challenges, lack of control, and switching costs (Sharma et al.,
2017). Over the past few years, cloud computing's adoption has
become increasingly significant, considering the internet is one
of the most developed infrastructures across the world.
Research has also revealed that regardless of the seeming
benefits, cloud computing adoption is still unsuccessful in some
companies. The potential and benefits of cloud computing are
evident, and several empirical studies evidence the progress of
adoption in different sectors. This paper analyses existing
literature on the aspects that impact cloud computing adoption.
Comment by Brenda Schrantz: Sentence fragment
The TOE model will be used as the theoretical framework upon
which the hypothesis will be tested.
Purpose of Review
The drive of this review is to get insights into present literature
and debates that are relevant to the research topic. It will
present the current knowledge that will lead to an understanding
of the variables in the research. As a researcher, this review
will help build the knowledge base and learn important concepts
such as research approaches and methods and experimental
techniques. The review will also be resourceful because it
teaches the researcher how to apply knowledge in solving real-
world problems. By reading existing literature, the researcher

3. will understand the presentation of research findings, making
one a better researcher and research writer. Comment by
Brenda Schrantz: Series...."research approaches, methods, and
experimental techniques."
This review will also enable the researcher to understand the
community's position in research and identify gaps related to
the research topic. This is like putting together the pieces from
different studies to make sense in a general perspective. After
putting the pieces together, one can easily see how the bigger
piece looks and identify what is missing. This will help the
research to note areas that have both been researched in detail
and maybe propose that for future researchers. This is not a
mere summary of sources. Instead, it allows the researcher to
compare sources and critically evaluate them to give meaning to
their findings. This will then enable the researcher to integrate
the findings into the discussion and incorporate them into the
topic's argument. Comment by Brenda Schrantz: Unclear
antecedent Comment by Brenda Schrantz: Unclear
antecedent Comment by Brenda Schrantz: Unnecessary
word Comment by Brenda Schrantz: Unclear antecedent
Comment by Brenda Schrantz: Unclear antecedent
Theoretical Framework Comment by Schrantz, Brenda: You
may want to bring your section on TOE theory up under this
heading and then go into the body of your paper. This heading
should be centered.
Cloud computing background Comment by Schrantz, Brenda:
This heading should be left justified.
McCarthy first introduced the concept of cloud computing in the
1960s. McCarthy suggests that in the future, a computation may
be organized as a public utility. In his book "The Challenge of
the computer utility,” published in 1966, Douglas Parkhill
explored cloud computing characteristics. According to
Douglas, the term cloud was coined from the
telecommunications world when telecom companies offered the
virtual private network (VPN) and similar services at a lower
cost (Parkhil, 1966). The VPN services enabled firms to balance

4. the utility of the overall network. Today, cloud computing
covers other networks and servers.
The National Institute of Standards and Technology defines
cloud computing as the model that allows convenient, easy, and
on-demand access to computing resources configured in a
shared pool. According to NIST, cloud computing is beneficial
because it requires minimal management support and allows
users and service providers' interaction. There are numerous
other definitions of cloud computing apart from the NIST
definition. However, all the definition revolves around cloud
computing's main characters such as elasticity, flexibility, on-
demand self -service, resource pooling, and broad network
access. Comment by Brenda Schrantz: You do not need this
word to be a possessive. No apostrophe is needed
Different companies have played a significant part in the
advancement of cloud computing. Other firms have also
recorded tremendous benefits after adopting cloud computing.
For example, Amazon launched the Amazon web services in
2006, and this was a mileage for cloud computing. This launch
was a great step for cloud computing and helped it to make
better steps. Like any other technology, cloud computing has
undergone developments. Experts reveal that a lot has still to be
done to address the security and privacy issues that current
users raise.
Cloud computing proliferation has attracted researchers who
have focused on its adoption on national and global scales. As
much as there are many studies on this topic, there are few
detailed readings on factors that influence cloud computing
adoption, a gap that this research seeks to address. The
researcher's review of literature also noted that different
adoption networks could be used to understand the adoption
process. Different theories can be used based on the specific
point of interest the researcher has on cloud computing.
However, in summary, studies noted the perceived benefits, top
management support, technological readiness, complexity,
uncertainty, competition to be significant factors that influence

5. cloud computing. For minor and medium-sized companies, the
main factors can be grouped into perceived benefits,
organizational support, and external pressure.
Before this study, researchers focused on adopting cloud
computing to use it like any other technological solution.
However, some studies have shown that the purpose to use
cloud computing is not significant in determining if it should be
adopted or not. The adopt or not adopt binary measure may also
fail to capture aspects such as organizational support that may
be necessary to facilitate the adoption process. To address these
gaps, the researcher focused on different cloud-based
technologies in today' organizations. Comment by Brenda
Schrantz: Should be "of using" Comment by Brenda Schrantz:
Should be "today's"
Acceptance of cloud computing Comment by Schrantz,
Brenda: Heading should be left justified
The acceptance of cloud computing depends on the perception
of how it is going to benefit a company. The magnitude and
capabilities of cloud computing s among the first considerations
when a firm desires to accept cloud computing. In most cases,
the efficiency and benefits of cloud computing are subjective.
Research has been done to assess the acceptance of cloud
computing at an individual and organizational level. Theories
including the theory of planned behaviour, the technology
acceptance model, the diffusion of innovation, and the task-
technology theory have been significant in adopting cloud
computing and related technological solutions. Comment by
Schrantz, Brenda: Should be are Comment by Brenda
Schrantz: Spelling is non-American variant. For consistency,
you may want to use "behavior"
Cloud computing can be defined as using remote servers in the
storage and processing of data instead of using a personal
computer or local server. It involves three architecture levels:
software as a service, platform as a service, and infrastructure
as a service. Researchers have identified cloud computing
benefits at the micro-level that include proper communication

6. and customer service, enhanced data analytics, and increased
flexibility of resources. Other researchers have also assessed
cloud computing benefits at the macro-level, including
collaborative innovation, sustainability, easy data recovery
through a backup system, and enhanced communication.
This study proposes the Technological-Organizational-
Environmental to understand cloud computing acceptance and
adoption, articulating the elements that affect managers and
companies to adopt cloud computing. The model is comprised of
three aspects as suggested by the model: technological,
environmental, and organizational factors that influence the
adoption of cloud computing (Gangwar et al., 2015). Each
aspect incorporates additional factors that may come into play
in the adoption process. The figure below shows the TOE
model. Comment by Brenda Schrantz: Check APA format for
adding a figure. You have to name figures and provide citation.
Factors that Influence the Adoption of Cloud Computing
Technological factors
The technological factors of the model focus on the perceived
technological benefits of cloud computing. These include the
performance expectancy, scalability, flexibility, cost-
effectiveness, and other technological advantages associated
with cloud computing. Firms that understand this technological
solution's benefits are more likely to adopt cloud computing
than those that do not. Another dimension of technological
factors is in terms of the technological readiness of the
company. The adoption of cloud computing requires that a
company has the required technological infrastructure to
accommodate cloud computing. Existing literature cites
technological benefits and readiness as a significant determinant
of the adoption of cloud computing. Comment by Brenda
Schrantz: Sentence fragment
A researcher has measured perceived benefits to be the benefits
organizations anticipate when they adopt cloud computing. In a
2015 study, Hassan and Ismail asserted that businesses have

7. improved communication and efficiency through inter-
departmental collaboration (2015). They also mentioned cloud
computing's ability to help organizations establish a competitive
advantage through easy access to information that enhances
decision-making and improved customer relationship
management. Research also shows that cloud computing reduces
IT costs because data management is in the vendor's hands
rather than the company. Another study also revealed that the
ease of data analysis, customization, and deployment time are
some of the perceived benefits that challenge businesses to
adopt cloud computing. Based on researchers' benefits and
arguments, it is clear that cloud computing has a market
advantage for companies that adopt it. This information leads to
the first hypothesis; companies consider cloud computing's
perceived benefits before adopting it.
Organizational factors Comment by Schrantz, Brenda:
Heading should be left justified.
The organizational factors include the employees, management,
firm size and structure in determining the possibility of
adoption. Most studies that have been sampled cite top
management support as an important organizational factor that
determines cloud computing adoption. The argument is that in
companies with management support and engagement in the
adoption, the process is likely to be successful. Other
researchers, on the contrary, argue that top management support
is not essential in the implementation of cloud computing.
However, they cite that top managers must avail the resources
required to make cloud computing a reality.
Researchers acknowledge top management support as one of the
significant challenges in the adoption of technological
solutions. The willingness of top managers to approve the
allocation of resources and other forms of support is crucial for
implementing change. Studies have argued that top management
is expected to ensure they avail resources needed to adopt cloud
computing. For a long time, researchers have recognized top
management's role in any form of change, whether technological

8. or not. For example, Oliveira (2014) discovered that top
management support is a critical factor in adopting cloud
computing. Based on these findings, the researcher
hypothesized that Top management support influences the
implementation of cloud computing.
Environmental factors Comment by Schrantz, Brenda:
Heading should be left justified
Businesses operate in a competitive environment and would do
anything to stay relevant. Most studies cite competition as an
external influence that challenges companies to adopt cloud
computing. Other studies also argue that the increase in data
breaches has compelled companies to adopt cloud computing to
enhance legal compliance. However, a literature review reveals
pressure to be the main environmental factor, as companies
strive to maintain industry standards. Environmental factors can
either act as enables or barriers to the adoption of cloud
computing in organizations.
According to a study conducted by Hsu et al., external pressure
and competition are the most significant environmental factor
that influences cloud computing (2014). The force from
competing firms propels managers to implement solutions that
will help them gain a competitive advantage and stay on top of
the market. Competition in different industries has been
revealed to positively influence technological innovation as
companies want to maintain their market position and attract the
highest number of customers for above-average returns. When
an organization sees a competitor obtaining benefits from cloud
computing, they are challenged to do so for the same benefits.
Comment by Brenda Schrantz: For readability, consider
separating these two sentences. End 1st sentence after
innovation. Start 2nd sentence with Companies...
The TOE model has been used in many cases to track and
understand the adoption of technological solution in firms of all
sizes. This research focuses on the TOE model independently,
contrary to most studies that combine it with others for deeper
assessments. The literature will be reviewed while giving

9. special attention to the three categories of factors as key players
in adopting cloud computing. The researcher will then be able
to prove or disapprove the hypothesis presented in chapter one
of this research. Comment by Brenda Schrantz: Should be
"solutions" Comment by Brenda Schrantz: Unnecessary
words
Benefits of cloud computing Comment by Schrantz, Brenda:
This heading should be centered
Business Efficiency Comment by Schrantz, Brenda: This
heading should be left justified
Many studies have investigated the cost-savings perspective on
a standardization scale. Three studies focused on how cloud
computing can create business efficiency to facilitate efficient
processes in business. Literature reveals that cloud computing
creates efficiency in cost reduction and variabiliztaion and
efficiency in business processes. Comment by Brenda
Schrantz: Spelling error
Variabilization and Cost Reduction Comment by Schrantz,
Brenda: Is this a level 2 or level 3 heading. Check APA manual
p. 49.
A total of five studies revealed that cloud computing is a
valuable tool in reducing costs while pursuing business
efficiency. Behind many companies, cost-saving is a critical
element, and managers strive to conduct operations within the
minimum resources possible. Therefore, companies choose to
adopt cloud computing so that they would save operational and
investment costs. According to Chen et al., the previous
financial crises motivated companies to adopt cloud computing
(Chen et al., 2016). There are notable changes in IT cost
structure, and inadequate funding have made companies want to
reduce costs overnight. Some studies also reveal that the cost-
benefit extent to other developing countries that may not be
able to adopt more expensive technological solutions. Adopting
cloud computing implies that some risks will be transferred to
the cloud, reducing costs of hardware failure and overhead

10. costs. Through the cost associativity concept, cloud computing
performs data retrieval faster. Comment by Brenda Schrantz:
Subject-verb agreement problem. Should be "has"
The efficiency of business processes Comment by Schrantz,
Brenda: Is this a level 2 or level 3 heading. Check APA format
p. 49.
The other stream of studies focused on how cloud computing
makes business processes more efficient. The studies reveal that
cloud computing is a more efficient technical infrastructure.
Less time is used to carry out business processes than the tie it
takes to operate in traditional IT models. A study conducted in
2011 revealed that in colleges and other learning institutions,
cloud computing adoption had enhanced efficiency in business
processes. While it is initially adopted to facilitate students'
learning, school managers reveal that it enhances students'
studies' flexibility and independence. In rural areas, students
may have to spend a long time communing school for classes.
With cloud computing, learners can engage teachers regardless
of the physical barriers. A study conducted by Kuo in 2011
reveals that in healthcare, cloud computing is used to enhance
health care delivery by availing accurate data promptly.
Business Effectiveness Comment by Schrantz, Brenda: This
heading should be left justified.
The literature available addressed business effectiveness in
three aspects: collaboration, business integration, and core
competencies. The three factors have been revealed to make
operations effective and more tailored to business needs.
Collaboration Comment by Schrantz, Brenda: I’m thinking you
want this to be a level 3 heading which means it should also be
in bold.
A study by Low et al. revealed that collaboration in businesses
enhance innovation and increases productivity. Businesses that
adopt cloud computing can connect employees to create and
share knowledge that stimulates innovation. For large
businesses, cloud computing applications are a better alternative
because they do not require huge investments. Before the

11. invention of cloud computing, information was available in
central processes, and a hectic structure had to be followed
before junior employees had access to data. Today, cloud
computing has enabled easier access to information by
seamlessly making data available to all the authorized
organizational members. Today, collaboration is more complex,
and participants must engage in real-time, something that has
been made possible through cloud computing. According to Sun
(2013), Cloud computing is a powerful tool that cuts across all
industries. It offers a high degree of collaboration by enhancing
transparency and data sharing. According to Sun, small
enterprises are no longer limited by limited resources because
cloud computing requires little investments. Comment by
Brenda Schrantz: Subject-verb agreement. Should be enhances
Comment by Brenda Schrantz: Should be investment
Business Integration Comment by Schrantz, Brenda: I’m
thinking you want this as a level 3 heading which means it
needs to be in bold. See APA manual p. 48
According to Chen &Liou(2012), cloud computing accelerates
IT commoditization and streamlines operations and service
delivery in different sectors. This has shifted the focus of
business from operational maintenance to enhanced service
delivery. Cloud computing has posed a dynamic infrastructure
that hits many applications and can minimize maintenance costs
by eliminating many support barriers. The standardized IT
landscape has made it possible to integrate business processes
through the common infrastructure and virtualization. The
flexibility that comes with cloud computing is one that
companies leverage every day to increase service delivery. With
cloud computing, there are no boundaries to sharing IT
resources. It has facilitated easy access and allocation of
resources with less strain. Further studies suggest that the cloud
industry is inspired by the need to overcome standardization
barriers. Studies reveal that the ability of cloud computing to
integrate operations technically enhance business effectiveness.
Comment by Brenda Schrantz: Unclear antecedent

12. Comment by Brenda Schrantz: Subject-verb agreement
problem. Should be "enhances"
Core competencies Comment by Schrantz, Brenda: Level 3
heading???
Effectiveness can be defined as the degree to which a business
achieves its goals. Talent management has been a significant
issued for HR professionals for a long time. With cloud
computing, it is easy to overcome the challenges of talent
management. This is possible due to the timeliness,
accessibility, ease of use, integration, and affordability of cloud
computing (Aljabre, 2012). As companies need changes, cloud
computing dynamics also change to meet those needs. Since it
requires fewer resources, cloud computing frees up some
resources to channel to other more important issues. Studies put
forty arguments that cloud vendors provide infrastructure and
platforms whereby important business processes are prioritized.
For government organizations, it has been easy to manage
documents and other useful data resources. It has also been easy
to avail and retrieves the data based on demand. Therefore,
cloud computing can address significant barriers that existed in
the aspect of core competencies. Comment by Brenda
Schrantz: Unclear antecedent
Business transformation Comment by Schrantz, Brenda: Should
be left justified
The literature that addressed business transformation focused on
service-oriented architecture and relieving businesses from
technological constraints to address loosely ted serviced during
the pre-cloud computing era. A study by Kambil revealed that
cloud computing services allow firms to explore new ways of
doing things and generating more revenue. For example,
Amazon Web Services helped to tap new markets and generated
more revenue for the company. Cloud computing also has agile
capabilities because it supports the consolidation of IT
resources. Cloud computing is a flexible, agile, and scalable
infrastructure that creates common visions for the business. It
also enables extensive partner collaboration that extends beyond

13. organizational boundaries. Some authors termed cloud
computing as a network of knowledge that allows people to
come together virtually and make critical decisions that push
businesses' agenda forward. Comment by Brenda Schrantz:
Should be agendas
Conclusion
The existing literature depicts cloud computing as an essential
and beneficial technological solution, especially in the 21st
century. However, the body of literature also hints that cloud
computing users are concerned about security, privacy, and
other business concerns even as they continue to adopt cloud
solutions. It is clear that researchers have done a great job in
providing this base of literature and have contributed to
addressing some of the challenges exhibited in cloud computing
adoption. After reviewing existing literature, the researcher
noted little research on enablers and barriers to adoption in
small and medium-sized enterprises. Also, prior studies focused
on the use of cloud computing. Therefore, the research will eek
t-test here hypothesis put forth by existing literature; perceived
benefits as determinants of adoption, top management support
as a significant factor, and external pressure as a determinant of
adoption. Future researchers should also seek to assess how
organizations are addressing the barriers to adoption.
Comment by Brenda Schrantz: Unnecessary word
Comment by Schrantz, Brenda: ???
References
Aljabre, A. (2012). Cloud computing for increased business
value. International Journal of Business and social
science, 3(1). Comment by Brenda Schrantz: Check APA
format p. 317. These should be in italics. Check capitalization
of Journal Title
Chen, M., & Liou, Y., (2012). Analyzing the impact of
virtualization on IT infrastructure using the ITIL framew ork.

14. Advances in Information Sciences and Service Sciences, 4(9),
98-106. Comment by Brenda Schrantz: Need to correct APA
format...issue throughout reference list.
Chen, T., Chuang, T. T., & Nakatani, K. (2016). The perceived
business benefit of cloud computing: An exploratory study:
Journal of International Technology and Information
Management, 25(4), 7.
Gangwar, H., Date, H., & Ramaswamy, R. (2015).
Understanding determinants of cloud computing adoption using
an integrated TAM-TOE model. Journal of enterprise
information management.
Hassan, H., & Ismail, N.A. (2015). Cloud computing: Use and
impact of technology. Paper presented at the 5th International
Conference on Computing and Informatics (ICOCI) 2015,
Istanbul, Turkey. Comment by Brenda Schrantz: Check APA
format for conference papers on p. 332
Hsu, P. F., Ray, S., & Li-Hsieh, Y. Y. (2014). Examining cloud
computing adoption intention, pricing mechanism, and
deployment model. International Journal of Information
Management, 34(4), 474-488.
Kambil, A. (2009). Ahead in the clouds. Journal of Business
Strategy, 30(4), 58-59.
Kuo, A. (2011). Opportunities and challenges of cloud
computing to improve health care services. Journal of Medical
Internet Research, 13(3), e67.
Li, X., Wang, Y., & Chen, X. (2012). Cold chain logistics
system based on cloud computing. Concurrency and
Computation: Practice & Experience, 24(17), 2138-2150.
Oliveira, T., Thomas, M., & Espadanal, M. (2014). Assessing
the determinants of cloud computing adoption: An analysis of
the manufacturing and services sectors. Information &
Management, 51(5), 497-510.
Sharma, P. K., Kaushik, P. S., Agarwal, P., Jain, P., Agarwal,
S., & Dixit, K. (2017, October). Issues and challenges of data
security in a cloud computing environment. In 2017 IEEE 8th
Annual Ubiquitous Computing, Electronics and Mobile

15. Communication Conference (UEMCON) (pp. 560-566). IEEE.
Zissis, D., & Lekkas, D. (2012). Addressing cloud computing
security issues. Future Generation computer systems, 28(3),
583-592.