Chinese SMEs and Information Technology Adoption

Abstract

In China, small and medium enterprises (SMEs) tend to be slow in adopting and exploiting in-formation technology (IT) as a means of enhancing their sustainability. It is vital for such firms to adopt IT in order to keep up with an IT-based global business environment. Otherwise, they may find themselves at a severe competitive disadvantage. This paper provides an insight into the low adoption of IT in the Chinese SMEs. In addition, it examines how financing constraints and the lack of skilled IT talent within these enterprises can explain the low uptake of IT and the low priority given to IT investment.