Analysis of Challenges faced during Adoption of ICT by Small and Medium Enterprises in India

Abstract

Purpose: This review article concentrates on the issue of SMEs' slower adoption of ICT. The review begins with the nature and characteristics of SMEs and their importance, moving on to the challenges in the implementation of ICT by SMEs. The potential use and drivers of ICT in SMEs, their conceptual framework, and the reduction of a gap in ICT adoption are discussed. ICT evaluation strategies in Indian SMEs and other developed countries are analyzed. Finally, before going into the future of ICT in SMEs, the tools used for the analysis of challenges in ICT are reviewed. Methodology: This paper explores the papers and articles available on challenges to the adoption of ICT to analyze various parameters in SMEs. Findings/Results: ICT adoption can assist SMEs in reducing costs by enhancing internal procedures and strengthening their business through better consumer interaction. SMEs appear to be delayed in adopting and using ICT in comparison to other sectors, despite the aforementioned knowledge and the relevance of ICT has long been acknowledged as a sector catalyst for other industries and economic prosperity. While large corporations have increased their use of ICT to obtain a competitive advantage, SMEs, who continue to confront restricted accessibility to markets and information, have shown little interest. Research Limitation: Though the review article has reviewed more than 200 papers, the work is based on literature rather than empirical findings, limiting the current work and paving way for future empirical research on the same. Originality/Value: Based on the findings ABCD analysis and research into the barriers to SMEs adopting ICT and other aspects detailed in this review are warranted. Paper Type: Literature review paper