A CIRCULAR BUSINESS MODEL FOR CLOUD COMPUTING SERVICES PROVIDERS

Hamed Motaghi, Saeed Nosratabadi, Thabit Qasem Atobishi
International Journal of Community Development and Management Studies  •  Volume 2  •  2018  •  pp. 105-120
Aim/Purpose:
The main objective of the current study is to develop a business model for service providers of cloud computing which is designed based on circular economy principles and can ensure the sustainable consumption.
Background Even though the demand for cloud computing technology is increasing day by day in all over the world, the current the linear economy principles are incapable to ensure society development needs. To consider the benefit of the society and the vendors at the same time, the principles of circular economy can address this issue.

Methodology:
An extensive literature review on consumption, sustainable consumption, circular economic, business model, and cloud computing were conducted. the proposed model of Osterwalder, Pigneur and Tucci (2005) is admitted designing the circular business model.

Contribution:
The proposed model of the study is the contribution of this study where provides the guidelines for the cloud computing service providers to achieve both their economic profits and the society’ needs.
Findings Finding reveals that if the cloud computing service providers design their business model based on the “access” principle of circular economy, they can meet their economic profits and the society’ needs at a same time.

Recommendations for Practitioners:
It is recommended to the startup and the existing businesses to utilize the proposed model of this study to reach a sustainable development.

Recommendation for Researchers:
It proposes a new circular business model and its linkages with community building.

Impact on Society:
The proposed model of the study provides guidelines to the cloud computing service providers to design a business model which is able not only to meet their economic profit, but also to meet the society’s and customers’ benefits.

Future Research:
Future researches can build on this research model which proposed in this study to examine the limitations of this model by using empirical researches.
Cloud computing, circular economy, circular business model, business model
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