Diffusion of innovation perspective on cloud computing driven business model innovation in retail SMEs: a systematic review

This paper presents a systematic literature review of 39 studies examining how cloud computing supports business model innovation (BMI) in SMEs using the Diffusion of Innovation (DOI) theory. While DOI highlights five core attributes (relative advantage, compatibility, complexity, trialability, observability), the review identities over 100 additional factors, synthesized into five themes: perceived attributes of cloud innovation, organizational capabilities and readiness, institutional and regulatory environment, risk and security perceptions, and social and network influences. The findings extend DOI by integrating organizational and environmental contingencies, showing that adoption depends on technological features, resources, policies, and trust. The study offers SMEs and policymakers a framework to mitigate barriers and leverage cloud technologies as a technological and socioinstitutional enabler of transformative, sustainable business model change.