Market reaction to application service provider (ASP) adoption: An empirical investigation

Jeong, Bo-Young; Stylianou, Antonis C.

doi:10.1016/j.im.2010.01.007

Cited by 21 publications

(7 citation statements)

References 27 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Prior studies in closely related situations support the argument that superior security procedures improve the perceived value of the service and identify security as a critical factor (Ma et al, 2005) [33]. Poor security is a barrier to engaging with a vender (Jeong and Stylianou, 2010) [34]. This discussion leads to the second hypothesis:…”

Section: Research Hypothesesmentioning

confidence: 96%

Does Perceived Value Mediate the Relationship between Service Traits and Client Satisfaction in the Software-as-a-Service (SaaS)?

Liu¹,

Chang²,

Tsai³

2015

JSS

View full text Add to dashboard Cite

The Software-as-a-Service (SaaS) product model provides clients to outsource software application processing requirements. Customer satisfaction is an important problem facing SaaS firms. Marketing theory suggests that customer satisfaction is affected by perceived value, but this relationship has not been examined in the SaaS context. This study argues for the mediating role of perceived value in the relationship between traits of the SaaS product and customer satisfaction. Our model builds on prior studies and success theories to consider whether service quality, service response, security, and information quality are mediated in their relationship to customer satisfaction. This study posits that perceived value serves as the primary mediator and trust as a controlling mediator in a model tested using a survey of ASP client firms.

show abstract

Section: Research Hypothesesmentioning

confidence: 96%

Does Perceived Value Mediate the Relationship between Service Traits and Client Satisfaction in the Software-as-a-Service (SaaS)?

Liu¹,

Chang²,

Tsai³

2015

JSS

View full text Add to dashboard Cite

show abstract

“…Along these lines, the market may delay bestowing value solely based upon announcements to mitigate the potential risk, especially for expenditures (e.g., ERP) that have had mixed results (Hitt et al 2002;Im et al 2001). Recent event-study research has examined the impact of IT-related application service provider (ASP) adoption on firm value (Jeong and Stylianou 2010) and the adverse impact of IT investment failures on firm value (Bharadwaj et al 2009) as well as diminishing returns from IT that was once considered value enhancing (Dos Santos et al 2012). Although announcements provide an early indication of the market's assessment of value, these mixed results suggest that the link between IT investment and firm value needs to be explored further.…”

Section: Information Technology Investment and Firm Valuementioning

confidence: 99%

Does Information Technology Investment Influence a Firm's Market Value? A Case of Non-Publicly Traded Healthcare Firms

2012

View full text Add to dashboard Cite

Managers make informed information technology investment decisions when they are able to quantify how IT contributes to firm performance. While financial accounting measures inform IT's influence on retrospective firm performance, senior managers expect evidence of how IT influences prospective measures such as the firm's market value. We examine the efficacy of IT's influence on firm value combined with measures of financial performance for non-publicly traded (NPT) hospitals that lack conventional market-based measures. We gathered actual sale transactions for NPT hospitals in the United States to derive the q ratio, a measure of market value. Our findings indicate that the influence of IT investment on the firm is more pronounced and statistically significant on firm value than exclusively on the accounting performance measures. Specifically, we find that the impact of IT investment is not significant on return on assets (ROA) and operating income for the same set of hospitals. This research note contributes to research and practice by demonstrating that the overall impact of IT is better understood when accounting measures are complemented with the firm's market value. Such market valuation is also critical in merger and acquisition decisions, an activity that is likely to accelerate in the healthcare industry. Our findings provide hospitals, as well as other NPT firms, with insights into the impact of IT investment and a pragmatic approach to demonstrating IT's contribution to firm value.

show abstract

“…One approach followed by researchers in the technology adoption literature is the stock market reaction to technology adoption announcements (Hunton et al, 2002, Jeong andStylianou, 2010). Event studies that look at CC adoption announcements and market reaction would measure the perceived value of such services.…”

Section: Benefitsmentioning

confidence: 99%

Cloud Computing: How does it differ from IT outsourcing and what are the implications for practice and research?

Yigitbasioglu¹,

MacKenzie²,

Low³

2013

IJDAR

View full text Add to dashboard Cite

Abstract. The purpose of this paper is to provide an evolutionary perspective of cloud computing (CC) by integrating two previously disparate literatures: CC and information technology outsourcing (ITO). We review the literature and develop a framework that highlights the demand for the CC service, benefits, risks, as well as risk mitigation strategies that are likely to influence the success of the service. CC success in organisations and as a technology overall is a function of (i) the outsourcing decision and supplier selection, (ii) contractual and relational governance, and (iii) industry standards and legal framework. Whereas CC clients have little control over standards and/or the legal framework, they are able to influence other factors to maximize the benefits while limiting the risks. This paper provides guidelines for (potential) cloud computing users with respect to the outsourcing decision, vendor selection, service-level-agreements, and other issues that need to be addressed when opting for CC services. We contribute to the literature by providing an evolutionary and holistic view of CC that draws on the extensive literature and theory of ITO. We conclude the paper with a number of research paths that future researchers can follow to advance the knowledge in this field.

show abstract

Market reaction to application service provider (ASP) adoption: An empirical investigation

Cited by 21 publications

References 27 publications

Does Perceived Value Mediate the Relationship between Service Traits and Client Satisfaction in the Software-as-a-Service (SaaS)?

Does Perceived Value Mediate the Relationship between Service Traits and Client Satisfaction in the Software-as-a-Service (SaaS)?

Does Information Technology Investment Influence a Firm's Market Value? A Case of Non-Publicly Traded Healthcare Firms

Cloud Computing: How does it differ from IT outsourcing and what are the implications for practice and research?

Contact Info

Product

Resources

About