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Article
Publication date: 1 April 2003

Georgios I. Zekos

Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some…

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Abstract

Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some legal aspects concerning MNEs, cyberspace and e‐commerce as the means of expression of the digital economy. The whole effort of the author is focused on the examination of various aspects of MNEs and their impact upon globalisation and vice versa and how and if we are moving towards a global digital economy.

Details

Managerial Law, vol. 45 no. 1/2
Type: Research Article
ISSN: 0309-0558

Keywords

Book part
Publication date: 28 September 2015

Md Shah Azam

Information and communications technology (ICT) offers enormous opportunities for individuals, businesses and society. The application of ICT is equally important to economic and…

Abstract

Information and communications technology (ICT) offers enormous opportunities for individuals, businesses and society. The application of ICT is equally important to economic and non-economic activities. Researchers have increasingly focused on the adoption and use of ICT by small and medium enterprises (SMEs) as the economic development of a country is largely dependent on them. Following the success of ICT utilisation in SMEs in developed countries, many developing countries are looking to utilise the potential of the technology to develop SMEs. Past studies have shown that the contribution of ICT to the performance of SMEs is not clear and certain. Thus, it is crucial to determine the effectiveness of ICT in generating firm performance since this has implications for SMEs’ expenditure on the technology. This research examines the diffusion of ICT among SMEs with respect to the typical stages from innovation adoption to post-adoption, by analysing the actual usage of ICT and value creation. The mediating effects of integration and utilisation on SME performance are also studied. Grounded in the innovation diffusion literature, institutional theory and resource-based theory, this study has developed a comprehensive integrated research model focused on the research objectives. Following a positivist research paradigm, this study employs a mixed-method research approach. A preliminary conceptual framework is developed through an extensive literature review and is refined by results from an in-depth field study. During the field study, a total of 11 SME owners or decision-makers were interviewed. The recorded interviews were transcribed and analysed using NVivo 10 to refine the model to develop the research hypotheses. The final research model is composed of 30 first-order and five higher-order constructs which involve both reflective and formative measures. Partial least squares-based structural equation modelling (PLS-SEM) is employed to test the theoretical model with a cross-sectional data set of 282 SMEs in Bangladesh. Survey data were collected using a structured questionnaire issued to SMEs selected by applying a stratified random sampling technique. The structural equation modelling utilises a two-step procedure of data analysis. Prior to estimating the structural model, the measurement model is examined for construct validity of the study variables (i.e. convergent and discriminant validity).

The estimates show cognitive evaluation as an important antecedent for expectation which is shaped primarily by the entrepreneurs’ beliefs (perception) and also influenced by the owners’ innovativeness and culture. Culture further influences expectation. The study finds that facilitating condition, environmental pressure and country readiness are important antecedents of expectation and ICT use. The results also reveal that integration and the degree of ICT utilisation significantly affect SMEs’ performance. Surprisingly, the findings do not reveal any significant impact of ICT usage on performance which apparently suggests the possibility of the ICT productivity paradox. However, the analysis finally proves the non-existence of the paradox by demonstrating the mediating role of ICT integration and degree of utilisation explain the influence of information technology (IT) usage on firm performance which is consistent with the resource-based theory. The results suggest that the use of ICT can enhance SMEs’ performance if the technology is integrated and properly utilised. SME owners or managers, interested stakeholders and policy makers may follow the study’s outcomes and focus on ICT integration and degree of utilisation with a view to attaining superior organisational performance.

This study urges concerned business enterprises and government to look at the environmental and cultural factors with a view to achieving ICT usage success in terms of enhanced firm performance. In particular, improving organisational practices and procedures by eliminating the traditional power distance inside organisations and implementing necessary rules and regulations are important actions for managing environmental and cultural uncertainties. The application of a Bengali user interface may help to ensure the productivity of ICT use by SMEs in Bangladesh. Establishing a favourable national technology infrastructure and legal environment may contribute positively to improving the overall situation. This study also suggests some changes and modifications in the country’s existing policies and strategies. The government and policy makers should undertake mass promotional programs to disseminate information about the various uses of computers and their contribution in developing better organisational performance. Organising specialised training programs for SME capacity building may succeed in attaining the motivation for SMEs to use ICT. Ensuring easy access to the technology by providing loans, grants and subsidies is important. Various stakeholders, partners and related organisations should come forward to support government policies and priorities in order to ensure the productive use of ICT among SMEs which finally will help to foster Bangladesh’s economic development.

Details

E-Services Adoption: Processes by Firms in Developing Nations
Type: Book
ISBN: 978-1-78560-325-9

Keywords

Book part
Publication date: 17 February 2015

Noelle Chesley and Britta E. Johnson

To assess: (1) the prevalence of specific work practices that incorporate use of information and communication technology (ICT), (2) whether these practices are connected to…

Abstract

Purpose

To assess: (1) the prevalence of specific work practices that incorporate use of information and communication technology (ICT), (2) whether these practices are connected to employee distress or productivity via work extension or social network processes; (3) the implications of ICT-based work practices for the work/family interface.

Design/methodology/approach

We draw on the 2008 Pew Networked Workers data collected from a nationally representative sample of workers and use logistic regression methods to investigate links among use of specific ICT-based practices and increases in distress or productivity.

Findings

(1) Use of e-mail, instant messaging, texts, and social networking sites at work varies by demographic, organization, and job characteristics, and (2) ICT-based work extension, social network expansion, and connectivity to work colleagues are linked to increases in distress and productivity. Connecting with family or friends while at work can reduce the likelihood that an employee reports an increase in work stress.

Research limitations/implications

Limitations include a cross-sectional design, age of the data, missing data, and measurement issues. Even with these limitations, there are few investigations drawing from national samples of employees that can assess work-related ICT use with this level of depth.

Originality/value

Findings point to technological innovation as an important factor influencing work extension and social network processes and connect this to changes in employee distress and productivity. The focus on productivity is especially important given the emphasis that previous research has placed on linking ICT use and employee distress.

Details

Work and Family in the New Economy
Type: Book
ISBN: 978-1-78441-630-0

Keywords

Article
Publication date: 1 June 2003

A.H.G.M. Spithoven

From the early 1980s to the late 1990s overall productivity rates did not reflect the rising investment in information and computer technology (ICT). This paradox, the…

2511

Abstract

From the early 1980s to the late 1990s overall productivity rates did not reflect the rising investment in information and computer technology (ICT). This paradox, the productivity paradox, which was widely discussed among economists may well turn out to be mainly a mirage once the assumption is excluded that investment has a short‐run effect on productivity. The apparent productivity paradox seems to be rooted in an ICT infrastructure that is inadequate and in an increase in income disparities that thwart the realization of economies of scale.

Details

International Journal of Social Economics, vol. 30 no. 6
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 20 March 2007

Ricardo Sellers‐Rubio and Francisco Mas‐Ruiz

This paper seeks to estimate total productivity change in retailing firms and to decompose it into efficiency change and technical change (TC) (i.e. the consequence of innovation…

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Abstract

Purpose

This paper seeks to estimate total productivity change in retailing firms and to decompose it into efficiency change and technical change (TC) (i.e. the consequence of innovation and adoption of new technologies).

Design/methodology/approach

This paper adopts the efficient approach using the Malmquist productivity index for a sample of 96 supermarket chains operating in Spain between 1995 and 2003.

Findings

The results show a slight increase in average annual productivity among the firms analysed.

Research limitations/implications

The generalisation of the conclusions of the study to the whole sector should be made with caution, because only one of the players in the distribution channel has been analysed.

Practical implications

It is shown that the main component of productivity change is TC. This result means that new ICTs have the capacity to alter the productive structures of retail firms, favouring their productivity.

Originality/value

The contribution of this paper is based on the application of the Malmquist index to evaluate productivity in the service sector.

Details

International Journal of Service Industry Management, vol. 18 no. 1
Type: Research Article
ISSN: 0956-4233

Keywords

Article
Publication date: 13 April 2015

Mahmood Hajli, Julian M. Sims and Valisher Ibragimov

Since the 1970s productivity growth in most economies slowed, while information and communication technology expenditures increased: the “information technology (IT) productivity…

3481

Abstract

Purpose

Since the 1970s productivity growth in most economies slowed, while information and communication technology expenditures increased: the “information technology (IT) productivity paradox.” Some researchers reported an end to the paradox, but this is most likely due to IT industry growth approaching the Year 2000 phenomenon. The purpose of this paper is to update IT productivity paradox research.

Design/methodology/approach

For comparability this research replicates methods employed by previous studies but employs a two-level approach: first macroeconomic indicators; second labor and multi-factor productivity.

Findings

Findings suggest IT investment has high positive correlation with gross domestic product growth, but not labor or multi-factor productivity. This ambiguity suggests the paradox is still poorly understood.

Research limitations/implications

The findings are not conclusive; the authors cannot confirm or reject the existence of the productivity paradox. The global recession and banking crisis makes it prudent to wait until recovery before analyzing data from that period.

Practical implications

Lack of convincing evidence supporting positive effects from IT investment suggests some firms benefit from IT investment, but not others, and that IT investment has questionable returns.

Social implications

Firm level studies might find IT investment benefits some firms, but lack of convincing macroeconomic level evidence of positive effects of IT investment suggests the paradox still exists.

Originality/value

This research updates the IT productivity paradox demonstrating the phenomenon is still poorly understood and thus worthy of further study, questioning the benefits of IT investment for industry and national economies.

Details

International Journal of Productivity and Performance Management, vol. 64 no. 4
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 1 August 1999

Jeonpyo Noh and James A. Fitzsimmons

A study of Korean service firms found that the level of information technology use is significantly related to the performance of the marketing function. Support was lacking only…

9306

Abstract

A study of Korean service firms found that the level of information technology use is significantly related to the performance of the marketing function. Support was lacking only for the categories of “use of outside database” and “networking between mainframe computer and PCs.” In addition, the form of information technology use is significant in its contribution to the performance of the marketing function. This study supports the argument that benefits of information technology investment can be identified. Furthermore, there is evidence of a time lag in the payoffs from information technology, because the benefits of connectivity have not yet been realized.

Details

International Journal of Service Industry Management, vol. 10 no. 3
Type: Research Article
ISSN: 0956-4233

Keywords

Article
Publication date: 8 March 2022

Faris ALshubiri, Amina Ahmed ALmaashani and Sharqoof Musallam Thuaar

Digitalisation has become closely related to various economic sectors in terms of economic impact and discovery of new technologies. In this regard, this study aims to examine the…

Abstract

Purpose

Digitalisation has become closely related to various economic sectors in terms of economic impact and discovery of new technologies. In this regard, this study aims to examine the relationship between the digital economy, as measured by four proxies (infrastructure, empowerment of society, technological economic growth and digitalisation development), and the productivity and monetary system of Oman from 1985 to 2019.

Design/methodology/approach

The autoregressive distributed lag methodology and diagnostic tests were used to increase the robustness of findings.

Findings

The analysis showed significant positive long-run relationships between infrastructure (measured as the number of fixed telephone subscriptions), technological economic growth (measured as medium- and high-tech exports as a percentage of manufactured exports) and the monetary system. There was also a significant negative short-run relationship between digitalisation development, measured as the number of individuals (percentage of the population) using the internet, and the monetary system. Furthermore, there were significant positive short- and long-run relationships between digitalisation development and productivity. Only short-run relationships were identified between empowerment of society, measured as the number of mobile cellular subscriptions, and productivity.

Originality/value

The conclusions support the paradigm of diffusion of innovation theory, which aims to understand the use of modern technologies to obtain the maximum economic benefit, and show both the dark and bright sides of technology. Furthermore, the effect of the digitalisation economy paradigm on productivity should be determined by increasing logistical services. This will support the growth of foreign and domestic investments and promote cooperation between the public and private sectors, thereby achieving digitalisation in Oman and enabling reflection on the country’s monetary policy development and economic growth.

Details

Journal of Science and Technology Policy Management, vol. 14 no. 5
Type: Research Article
ISSN: 2053-4620

Keywords

Article
Publication date: 12 September 2008

Leonora C. Hamilton and Ramachandra Asundi

The purpose of this paper is to determine if firms that invest in information technology (IT) and innovate are more profitable than those that do not and to analyze how firms in…

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Abstract

Purpose

The purpose of this paper is to determine if firms that invest in information technology (IT) and innovate are more profitable than those that do not and to analyze how firms in general and on the island of Puerto Rico, in particular, have found an avenue to compete, grow, and become profitable using technology in production and service, and by extending into the use of electronic commerce. Some recent investigations find that investments in IT do not lead to productivity improvements as measured by accounting standards. Earlier research identified four factors that can lead to such a paradoxical finding.

Design/methodology/approach

The present investigation was undertaken to evaluate, utilizing a case method approach, the extent to which small and medium firms in different industries are prone to this paradoxical condition. Six firms identified in Puerto Rico were contacted to obtain both qualitative and quantitative information from senior officers and CEOs through personal and telephone interviews.

Findings

Utilizing the four factor influence on productivity output of IT investment in each of the present case, the findings show that their effect and subsequent limitations on the broadly defined output measure is minimal. Thus the findings show improved productivity and growth in each of the cases.

Research limitations/implications

A major limitation of the present study is the lack of (proper) quantitative data both at the input stage of IT investment and the output stage of quantitative measures.

Originality/value

The paper is of value in illustrating how small and medium enterprises can successfully adopt and incorporate IT while assuming the necessary investment costs, reaping the benefits of productivity, profitability, and growth within a reasonable span of time.

Details

Management Research News, vol. 31 no. 11
Type: Research Article
ISSN: 0140-9174

Keywords

Article
Publication date: 1 May 1989

Karen Legge

The monograph analyses (a) the potential impact of informationtechnology (IT) on organisational issues that directly concern thepersonnel function; (b) the nature of personnel’s…

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Abstract

The monograph analyses (a) the potential impact of information technology (IT) on organisational issues that directly concern the personnel function; (b) the nature of personnel’s involvement in the decision making and activities surrounding the choice and implementation of advanced technologies, and (c) their own use of IT in developing and carrying out their own range of specialist activities. The monograph attempts to explain why personnel’s involvement is often late, peripheral and reactive. Finally, an analysis is made of whether personnel specialists – or the Human Resource Management function more generally – will play a more proactive role in relation to such technologies in the future.

Details

Personnel Review, vol. 18 no. 5
Type: Research Article
ISSN: 0048-3486

Keywords

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