Abstract
In the new era of computing, software can be sold and delivered as a cloud service, and software renting has become a strategic tool to compete in the market. In this multi-case study, software renting was found to help the case firms to (i) differentiate themselves from competitors; (ii) increase their competitive advantage by making the software available for a larger customer group, and (iii) decrease the price of software by using centralized software delivery and maintenance.
This is a preview of subscription content, log in via an institution.
Buying options
Tax calculation will be finalised at checkout
Purchases are for personal use only
Learn about institutional subscriptionsPreview
Unable to display preview. Download preview PDF.
References
Choudhary, V., Tomak, K., Chaturvedi, A.: Economic Benefits of Renting Software. Journal of Organizational Computing and Electronic Commerce 8(4), 277–305 (1998)
Choudhary, V.: Comparison of Software Quality Under Perpetual Licensing and Software as a Service. Journal of Management Information Systems 24(2), 141–165 (2007)
Gurnani, H., Karlapalem, K.: Optimal pricing strategies for Internet-based software dissemination. Journal of the Operational Research Society 52(1), 64–70 (2001)
Varian, H.: Buying, Sharing and Renting Information Goods. The Journal of Industrial Economics 48(4), 473–488 (2000)
Ferrante, D.: Software Licensing Models: What’s Out There? IT Professional 8(6), 24–29 (2006)
Armbrust, et al.: A view of cloud computing. Communication of the ACM 53(4), 50–58 (2010)
Flath, D.: The Economics of Short-term Leasing. Economic Inquiry 18(2), 247–259 (1980)
Huang, K.-W., Wang, M.: Firm-Level Productivity Analysis for Software as a Service Companies. In: Proceedings of the ICIS (2009)
Sainio, L.-M., Marjakoski, E.: The logic of revenue logic? Strategic and operational levels of pricing in the context of software business. Technovation 29(5), 368–378 (2009)
Porter, M.: How Competitive Forces Shape Strategy. Harvard Business Review 57(2), 137–145 (1979)
Porter, M.: The five competitive forces that shape strategy. Harvard Business Review 86(1), 78–93 (2008)
Bulow, J.I.: Durable-Goods Monopolists. Journal of Political Economy 90(2), 314–332 (1982)
Hugos, M.H., Hulitzky, D.: Business in the Cloud: What Every Business Needs to Know About Cloud Computing. John Wiley & Sons, Inc. (2011)
Louridas, P.: Up in the Air: Moving Your Applications to the Cloud. IEEE Software 27(4), 6–11 (2010)
Waters, B.: Software as a service: A look at the customer benefits. Journal of Digital Asset Management 1, 32–39 (2005)
Ojala, A., Tyrväinen, P.: Developing Cloud Business Models: A Case Study on Cloud Gaming. IEEE Software 28(4), 42–47 (2011)
Eisenhardt, K.M.: Building theories from case study research. Academy of Management Review 14(4), 532–550 (1989)
Yin, R.K.: Case study research: Design and methods. SAGE Publications, CA (2009)
Miles, M.B., Huberman, A.M.: Qualitative Data Analysis: An Expanded Sourcebook. Sage Publications, California (1994)
Author information
Authors and Affiliations
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2012 Springer-Verlag Berlin Heidelberg
About this paper
Cite this paper
Ojala, A. (2012). Benefits of Software Renting in Cloud Business. In: Cusumano, M.A., Iyer, B., Venkatraman, N. (eds) Software Business. ICSOB 2012. Lecture Notes in Business Information Processing, vol 114. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-30746-1_29
Download citation
DOI: https://doi.org/10.1007/978-3-642-30746-1_29
Publisher Name: Springer, Berlin, Heidelberg
Print ISBN: 978-3-642-30745-4
Online ISBN: 978-3-642-30746-1
eBook Packages: Computer ScienceComputer Science (R0)