SMEs and disruptive technologies

When relying on technology to gain competitive advantage it is important that this is done in timely and efficient manner this is one way SMEs can exploit disruptive technology to their advantage. While large firms have a resource benefit, small firms are better able to respond to unexpected developments in the business environment which disruptive technologies usually come with. Rapid technological advances require prompt decision-making, quick action to changing business environment, internal flexibility, willingness to take risks on emerging technologies, lack of bureaucracy, and entrepreneurial spirit typical all of which SMEs can exploit to gain competitive advantages. At the same time, SMEs tend to be more focused on producing products for niche markets rather than a big market. While usually been considered by established businesses as an attack, disruptive innovation provide a powerful avenue for growth through new market discovery for SMEs. In every industry changed by disruption, the net effect has been total market growth. SMEs should grasp the opportunities offered by disruptive innovation to target massive low-end market and new markets especially in developing countries like African.

References:

http://www.seiofbluemountain.com/upload/product/200911/2006zxqyhy01a10.pdf

http://www.ifm.eng.cam.ac.uk/uploads/Research/CTM/Resources/11_03_hang_garnsey.pdf

http://www.sciencedirect.com/science/article/pii/S0040162506001144

 

 

 

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