Abstract
Cloud computing is a great model of demand and supply in information communication and services. It represents a complex infrastructure and provides a dynamic, distributed, heterogeneous and autonomous platform for solving problems in business, science and technology. This paper proposes a cloud computing environment that supports dynamic application service composition model. We develop a Quality of Service (QoS) based framework for effective web services allocation. In computing, the service consumer is projected to provide the QoS requirements as part of service discovery query. The cloud as marketplace for trading instances of web services can be bought or leased by web applications. We found that using dynamic decision-making management approach relaying on dynamic portfolio allocation model mainly used in finance, one can achieve the purpose of saving resources by reducing costs of quality of services and eliminating risks related to different services simultaneously.
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