Pup is content outside the crate. However, when placed in crate she fuses, bites on and get very fussy. Are there any technics that can smooth out the transition? Also, she is peeing on paper in crate but does not go to paper when she is out side crate. Are there some tricks to entice her to the paper when she is outside crate?
It is important to recognize that what your puppy is reacting to is being alone in the cage away from you. She most likely has never been alone until now. There is no instant solution to that problem, she needs to learn that is okay to be alone and rest or play in the palace and that you will return and interact with her again at some point. Trying to wear her down, be sure she has eaten before you place her in the cage, giving her a couple treats when you put her in, always use the cover if you intend for her to sleep and usually have the palace in a separate room are all part of a good plan. You cannot go back to the palace until she has been quiet for at least 30 minutes. Having a favorite toy or two in the palace and using praise and treats when she has accepted being in the cage is helpful.
She does not have control over elimination until around 12 weeks of age so she cannot postpone elimination yet. This means that the appropriate elimination area has to be close by and you need to repeatedly take her to that area when you are with her to create the opportunity for success. She cannot be expected to go to that area unless you teach her that. You can also encourage use of the pad by confining her to a small pen attached to the cage or placing the cage in a small room after the first week or so, also you can take the tray and attached pad with you if she is going to be farther from the palace. Expecting her to return to the palace for elimination while having free run of your home is not going to be practical until she approaches 4 months of age.