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Cloud computing adoption by organizations has been minor despite the initial optimism. The primary concerns obstructing adoption of cloud-based services are security, loss of control, and inadequate legislative. In a cloud-based model, information technology services are distributed and accessed over networks such as intranet or internet. Intranets are inside organizations and internet outside. The main concerns are inherently linked to employing services provided by other organizations and accessing them over internet. In such case, valuable organizational data and services are transferred to providers. The provider or other entities may compromise organizational data and services, thus posing significant security risks. By moving data and services to outside providers, organizations also loose substantial control over timely management and retention. Organizations must follow the rules set by the providers‒ which may not be well suited for them. The providers legally distance themselves from liabilities on important issues such as security, data loss and damage. There are also several other pertinent factors. Proper cloud computing adoption and utilization by organizations requires balanced approach. We elucidate various factors and highlight proper strategic concepts for effective cloud adoption management—benefiting both organizations and providers.