Information Technology and SMEs in Pakistan Essay

1454 Words 6 Pages
Abstract Recent spectacular technological advances and break throughs have made the effective use of modern information technology a critical, competitive business tool. This study explores the use of IT by SMEs and their degree of satisfaction in using software and hardware.Use of Word processing and spreadsheet is comparatively high. Use of communication software is very low. There is a dissatisfaction of respondents with software, more than hardware. One main reason is lack of proper training as employees don’t know how to use the software. Informal training methods like on-the-job training etc., are very effective to train the employees.

Keywords Information technology (IT), Small to Medium-sized enterprises, Hardware, Software,
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This pattern of progress may be due to advancement of technology. But a technological diffusion or infusion may be attributable to the fact that IT’s introduction into an organization creates further technological needs and encourages product and policy innovation to meet such needs.
One research (Hitt and Brynjolfsson, 1996) has examined the value of IT as a viable competitive actor via increased productivity, improved profitability, and value for customers. Studies on the role of IT in competitiveness have been primarily focused on large organizations. However, in today’s global market, and with the use of Internet and electronic business, small and medium size enterprises (SMEs) can employ IT to increase their competitive position along with their large counterparts (Beheshti, 2004). Barau et al. (2001) showed that small business were utilising the internet more than their counterparts. In order to take full advantage of IT and to compete in the global business environment, top executives must recognize the strategic value of IT and exploit it.
It is very difficult to clearly distinguish between small, medium, and large firms. People distinguish between SMEs and large corporations on the basis of employees, sales volume, and value of assets. Although the most common way to determine whether a business is small medium, or large , is by number of employees, there is not an exact threshold that make a distinction

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