Cloud computing software has brought many changes to the business landscape and currently, the implementation of such a service is common. New research from SMU Associate Professor of Information Systems Ma Dan and Simon Business School at the University of Rochester sheds light on the growing competition between two widely used software models - Software-as-a-Service (SaaS), and Modified off-the- Shelf (MOTS) software. In their paper, "Analyzing Software as a Service (SaaS) with Per-Transaction Charges," Associate Prof Ma and Xerox Professor of Computers and Information Systems and Operations Management from Simon Business School Abraham Seidmann, built a game theory model to explore competitive pricing strategies of SaaS and MOTS platforms on a per-transaction basis to determine where and how each service modality gives end-users more value for their money. The co-authors also identified three different qualities to measure the pricing strategies between competitors: how SaaS providers serve multiple clients; the impact of the software's lifespan; and the users' capacity-management problems.
[Featured Photo: Associate Professor Ma Dan]