Information and Communication Technologies (ICT) and Performance of Micro, Small and Medium Enterprises (MSMEs) in Nigeria

Abstract

The study examined the causality between ICT utilization and the performance of MSMEs in Nigeria, in terms of market visibility, marketing effectiveness and business survivability. Cross-sectional research design was adopted. Using a structured questionnaire, we obtained primary data from 337 operators of MSMEs. The data obtained were descriptively analyzed and interpreted, whereas the hypotheses of the study were tested using regression analysis. The study found that ICT utilization had a significant positive effect on the performance of MSMEs in Nigeria. Specifically, the findings showed that the utilization of ICT tools by operators of MSMEs in Nigeria had the capacity to substantially improve their performance by enhancing market visibility, marketing effectiveness and business survivability. The insights of the study can be useful in providing definitive evidence for operators of MSMEs in developing countries to realize the enormous potential of ICT and its capacity to bolster corporate performance in an ever-more dynamic business environment marked by technological uncertainty, and competition. This study makes a novel contribution to knowledge regarding the relationship between ICT and performance of MSMEs in the Nigerian context. The study has been able to generate empirical evidence that definitively demonstrates that the utilization of ICT tools can significantly improve the performance of Nigerian MSMEs by enhancing their market visibility, marketing effectiveness and business survivability.