The Impacts Of Using ICT For Business
ICT or also known as Information and Communication Technology is a basic necessity in our globalize world today. But as we all know nothing god or man created is perfect, which brings me to my topic of discussion for today, whereby I think that the impacts of using ICT for business can be viewed upon in the positive and negative aspects.
Firstly, let us take a look on the positive impacts of using ICT for business. Through my understanding based on the journals that I have cited below, ICT has played a tremendous role in the business sector. It can help increase productivity in Small and Medium Sized Enterprises (SMEs). For example, instead of using man power, ICT has enabled us to use machines that can produce more output in a faster and shorter period compared to a normal human. Besides, ICT is even used in the marketing department these days whereby people can develop strategies of differentiation based on product innovations. In the real estate sector, ICT has made internal and external communication via e-mail more efficient. It has also made transaction cost lower and maximized accessibility as we are now able to order and pay online. Indirectly, ICT has transformed organizations into a borderless zone as customers, suppliers and partners can connect together with no boundaries. Moreover, ICT has also helped shorten the supply chain. For instance, traditionally in a supply chain there will be a factory, a warehouse, a distributor a retailer and a customer who are all involved in the purchasing and distributing process, whereas in the supply chain we find nowadays there are only two parties involved which is the factory and the customer, as now with the presence of ICT we can shop online (e-shopping). In a different aspect, ICT has also made investing easy as investors are able to invest in any assets all around the globe. Besides, stockbrokers are more at ease nowadays as stock exchange rates can be monitored via the Internet.
Now, let's take a look on the negative impact of using ICT for business. Firstly, ICT can cause unemployment as employees are investing in more machines compared to man and due to this factor, many countries have suffered economically. Besides, in the real estate field it is believed that if the ICT era continues, productivity will increase causing space requirements to decrease which will eventually lead to the lost of demands for real estates. Moreover, using ICT in the business sector is not advisable to consumers as they are not able to bargain online nor have a look at the actual product. Implementing ICT in business has also caused major competition in the business field internationally which eventually lead to bankruptcy as some regions are unable to cope with the drastic changes.
As a conclusion, ICT has its good and bad impacts when it comes to the business sector. Thus it all depends on how we actually look at it.
Below are the URL’s and the journal titles that I have used as reference:
www.ebscohost.com
(ICT usage and its impact on profitability of SMEs in 13 African countries)
ICT or also known as Information and Communication Technology is a basic necessity in our globalize world today. But as we all know nothing god or man created is perfect, which brings me to my topic of discussion for today, whereby I think that the impacts of using ICT for business can be viewed upon in the positive and negative aspects.
Firstly, let us take a look on the positive impacts of using ICT for business. Through my understanding based on the journals that I have cited below, ICT has played a tremendous role in the business sector. It can help increase productivity in Small and Medium Sized Enterprises (SMEs). For example, instead of using man power, ICT has enabled us to use machines that can produce more output in a faster and shorter period compared to a normal human. Besides, ICT is even used in the marketing department these days whereby people can develop strategies of differentiation based on product innovations. In the real estate sector, ICT has made internal and external communication via e-mail more efficient. It has also made transaction cost lower and maximized accessibility as we are now able to order and pay online. Indirectly, ICT has transformed organizations into a borderless zone as customers, suppliers and partners can connect together with no boundaries. Moreover, ICT has also helped shorten the supply chain. For instance, traditionally in a supply chain there will be a factory, a warehouse, a distributor a retailer and a customer who are all involved in the purchasing and distributing process, whereas in the supply chain we find nowadays there are only two parties involved which is the factory and the customer, as now with the presence of ICT we can shop online (e-shopping). In a different aspect, ICT has also made investing easy as investors are able to invest in any assets all around the globe. Besides, stockbrokers are more at ease nowadays as stock exchange rates can be monitored via the Internet.
Now, let's take a look on the negative impact of using ICT for business. Firstly, ICT can cause unemployment as employees are investing in more machines compared to man and due to this factor, many countries have suffered economically. Besides, in the real estate field it is believed that if the ICT era continues, productivity will increase causing space requirements to decrease which will eventually lead to the lost of demands for real estates. Moreover, using ICT in the business sector is not advisable to consumers as they are not able to bargain online nor have a look at the actual product. Implementing ICT in business has also caused major competition in the business field internationally which eventually lead to bankruptcy as some regions are unable to cope with the drastic changes.
As a conclusion, ICT has its good and bad impacts when it comes to the business sector. Thus it all depends on how we actually look at it.
Below are the URL’s and the journal titles that I have used as reference:
www.ebscohost.com
(ICT usage and its impact on profitability of SMEs in 13 African countries)
www.emeraldinsight.com/1460-1060.htm
(ICT use in marketing as innovation success factor)
www.emeraldinsight.com/1463-578x.htm
(The impact of information and communications technology on commercial real estate in the new economy)
www.emeraldinsight.com/1741-0398.htm
(The effects of generalized competition and strategy on the business value of information and communication technologies)
www.ebscohost.com
(Drivers, Benefits and challenges of ICT adoption by Small and Medium Sized Enterprises (SMEs) : A literature review)
www.sciencedirect.com
(Assessing the impact of e-business on supply chain dynamics)
2 comments:
Your links are useful for others to read on the same topic. However your writing is too short. How about discussing and summarizing the articles that you put up.
Keep up the good work
Good evening Datin, thanks for the encouraging remarks, and i would also like to know if its still possible for me to discuss the articles???
Thank you Datin and have a nice day!!!
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