Supporting rural Small and Medium-sized Enterprises to take up broadband-enabled technology: What works?

Abstract

The last 15 years have seen major changes in the availability and usage of broadband in the UK. Despite these improvements, rural areas continue to lag behind urban areas for broadband connection speeds – a divide that is exacerbated by lower rates of broadband adoption among rural Small and Medium-sized Enterprises (SMEs). This paper examines the experiences of SMEs that have participated in a publicly funded programme designed to stimulate demand for broadband in the rural region of Lincolnshire, UK. Drawing on interviews conducted over two periods of policy intervention (2003–2006 and 2010–2015) it examines the variety of business support approaches used and identifies the effects of these on use of Information and Communication Technology (ICT) innovation, and sales within participating SMEs. The results show that while training events provide entry-level support for broadband use, more intensive support such as 1:1 advice and ICT grants leads to the significant changes within the business. Direct access to new technology in spaces such as Technology Hubs is identified as particularly important for rural SMEs. The paper concludes by identifying some common features of the business support that bring about the greatest benefits to SMEs in rural areas.

Demand-side broadband policy in the context of digital transformation: An examination of SME digital advisory policies in Wales

“…Other researchers emphasise that demand-side policies may go beyond demand stimulation by assisting businesses in the use of broadband and associated technologies ( Gillett et al, 2004 ; OECD, 2008 ). This points to the potential for broadband demand-side policies to work alongside supply-side policy measures in an interactive manner, strengthening the use of broadband infrastructure, and addressing low uptake and use in particular groups such as small businesses ( Price et al, 2018 ). It may also suggest new opportunities for public and private actors to collaborate in the delivery of supply- and demand-side policies ( Gómez-Barroso & Feijóo, 2010 ).…”

“…SMEs have been identified as an important target group for demand-side policies, with Spurge and Roberts (2005 : 522) arguing that while ‘SMEs have been equipped with the tools [they] are not equipped with skills to use them effectively’. Indeed, studies of SME adoption of digital technologies have shown that while such firms can often lag in their rates of access ( Price et al, 2018 ), active usage can benefit their productivity ( Haller & Lyons, 2015 ).…”

“…More specifically, others point to the lack of studies of 'business support designed specifically to assist SMEs' use of broadband-enabled technology.' ( Price et al, 2018 , p. 519).…”

“…In recent decades, policy makers have sought to respond to this challenge with an emphasis on supply-side measures aiming to improve the availability of broadband to businesses and citizens ( Graham & Marvin, 1996 ; Grubesic & Mack, 2016 ; Tranos, 2013 ). Attention has been given to demand-side measures such as supporting small businesses to adopt and make use of digital technologies ( Belloc et al, 2012 ; Price et al, 2018 ).…”

Examining the policy mix for broadband deployment in Wales: The role of informal coordination in the last mile

“…This has seen extensive efforts, over time, to ensure regions and communities are 'not left behind' in the emerging global and digital economy (Gillespie and Williams, 1988;Gillespie et al, 2001). Such research has increasingly focused on the deployment of broadband infrastructure, but also its use (Grimes, 2003;Price et al, 2018).…”