Ict, e-business and Small and Medium Enterprises



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TABLE OF CONTENTS 

EXECUTIVE SUMMARY ............................................................................................................................ 4

 

Business environment ................................................................................................................................. 4



 

Network infrastructure ................................................................................................................................ 4

 

Trust infrastructure...................................................................................................................................... 5



 

Digital products and information services................................................................................................... 5

 

Skill upgrading ............................................................................................................................................ 5



 

Intangible investments and assets ............................................................................................................... 5

 

Information.................................................................................................................................................. 5



 

Government on-line..................................................................................................................................... 6

 

Competition................................................................................................................................................. 6



 

Intellectual property .................................................................................................................................... 7

 

INTRODUCTION .......................................................................................................................................... 8



 

I. 


 

BENEFITS AND USE BY SMALL BUSINESSES ........................................................................... 9

 

Benefits of ICT and Internet use ................................................................................................................. 9



 

ICT adoption and firm performance.......................................................................................................... 11

 

Use of ICT and Internet among SMEs ...................................................................................................... 11



 

Adoption of Internet e-commerce by SMEs.............................................................................................. 13

 

Towards e-business integration................................................................................................................. 18



 

II.


 

BARRIERS TO USE ......................................................................................................................... 19

 

Unsuitability for business.......................................................................................................................... 19



 

Enabling factors: internal ICT and managerial knowledge ....................................................................... 20

 

Cost of developing and maintaining e-business systems .......................................................................... 21



 

Network infrastructure issues: access and interoperability ....................................................................... 22

 

Building security and trust ........................................................................................................................ 26



 

Legal uncertainties .................................................................................................................................... 28

 

E-business adoption challenges: lessons from EBIP................................................................................. 29



 

III.


 

ICT AND E-BUSINESS USE BY SECTOR..................................................................................... 31

 

Tourism ..................................................................................................................................................... 31



 

Retail ......................................................................................................................................................... 32

 

Textiles...................................................................................................................................................... 33



 

Automobiles .............................................................................................................................................. 34

 

Summary ................................................................................................................................................... 34



 

IV. 


 

POLICY IMPLICATIONS ................................................................................................................ 35

 

General approaches ................................................................................................................................... 35



 

General framework policies for SMEs...................................................................................................... 36

 

Specific policies for SMEs........................................................................................................................ 39



 

Summary ................................................................................................................................................... 43

 

REFERENCES ............................................................................................................................................. 44



 


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