THE ADOPTION OF ICT TO IMPROVE THE PERFORMANCE OF SMES IN DIGITAL ERA

Abstract

During the Digital Era, scientific research on information and communication technologies (ICT) and its impact on economic, social, and human development became a major focus. The importance of gaining and exploiting the positive outcomes (productivity growth, organization expansion, efficiency, effectiveness, competitiveness, and so on) of ICT adoption and implementation in various organizations has been demonstrated by theoretical and empirical studies. As a result, the purpose of this research is to review the literature on the potential implications of ICT on the performance of SMEs. Data about 145 small enterprises was gathered through a survey. The information gathered was examined using SEM-PLS. The finding revealed that the adoption of ICT had significant impact on driving the internal and external capabilities on the performance of SMEs. This study suggests that the adoption ICT such as computer technology, communication technology, and media technology are an important factor influencing SME business performance in this era.

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