Cloud computing for small and medium enterprises – a strategic option under globalization

Abstract

Cloud computing will be next blockbuster on the technological front, but it’s also one that many businesses approach with skepticism. Over the last few years, the hype about cloud computing has escalated enormously, while in reality, only about 20 percent of businesses have incorporated a cloud model into their business strategy according to a survey conducted in 2010 by IBM — the IBM 2010 Global Risk Survey. The idea behind cloud computing is that anybody need not own all the software and hardware necessary to run a business. An enterprise can rent it and pay it per use. It has the potential to revolutionize the way we see and do business by providing clear economic incentives. While the challenges and risks are real, cloud computing also has the potential not only to cut IT costs dramatically but even to transform how business is conducted. Present paper propose to explain how usage of cloud computing paradigm can be a real strategy for medium and small enterprises in order to survive to the dramatic and powerful changes imposed by globalization.