The impact of ICT on innovation activities: Evidence for UK SMEs

Abstract

There is a continuous commitment of policymakers in the UK to support innovation in small and medium-sized firms. For these policy initiatives to be successful, an understanding of the factors driving innovation activities is required. In this study, the focus is upon the role that information and communication technologies (ICT) play in the innovation performance of UK small and medium-sized enterprises (SMEs). Using data drawn from the 2004 Annual Small Business Survey (ASBS) database, it is shown that ICT operate primarily as efficiency-enhancing technologies, although specific market-oriented applications (that is, website development) exhibit the potential to create competitive advantage through product innovation.

The Promoting Force of Technology for Service Innovation in High-Tech Industries

“…ICT formed part of every one of these combinations. Although only five cases were considered and only one service innovation is based mainly on ICT (Case 2), the predominance of these technologies for service innovations is well represented in our study and coincides with the results of previous research (Higón, 2011;Jiménez-Zarco et al, 2011;Scupola & Tuunainen, 2011).…”

Towards a new framework for SMEs success: a literature review

“…One of the most important aspects of the technological environment is Information and Communications Technologies (ICT), which has long been established as an effective instrument for small businesses to achieve growth and competitiveness (Consoli, 2012;Hartono, 2012;Higón, 2011;Jorgenson and Stiroh, 2000;Majors, 2010;Maier, 2010;Morgan et al, 2006;Oliner and Sichel, 2000;Parker and Castelman, 2007). Embracing and utilising ICT in small businesses improves their efficiency, effectiveness and competitiveness (Hamilton and Asundi, 2008;Johnston et al, 2007;Southwood, 2004;Mahmood and Mann, 2000), boosts innovation (Zhu and Kraemer, 2003) and produces many intangible benefits (Mueller-Falcke, 2002).…”

Innovation and Its Drivers in SMEs

“…Higón (2011) discuss the ability for ICT to contribute in some way to firm productivity with Koellinger (2008) emphasising how e-business technologies are important enablers of innovation. Hempell and Zwick (2008) contend that ICT can improve and enable firms to have more flexible organisational structures, ratifying Russo and Perrini (2010) and Haleblian et al (2012) call for organisational adaptability.…”