Year: 2011
Type: article
Abstract: With increasing demand for Cloud Computing services, a growing number of firms are citing business agility and costsavings as motivators for adopting Cloud Computing services. Extant literature does not provide any empirical evidence ofvalue of announcements made regarding the Cloud Computing environment. This paper examines impact of CloudComputing announcements on firm valuation, using event study methodology. This study explores the market impact ofadoption of Cloud Computing on the cloud vendors/providers and customers/adopters. The impact on firm value of thecompetitors, of the companies adopting Cloud Computing services, is also analyzed. The study shows that there is asignificant impact of those announcements on the firm value of the companies. However, it shows a contrasting impact on thecustomers, vendors and their respective competitors, when analyzed separately.
Authors: Srikanth Parameswaran, Srikanth Venkatesan, Manish Gupta, Raj Sharman, Hengyi Rao
Language: English
Subfield: Finance
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2243629989