SME which means Small and Medium Enterprise are considered to be one of the most crucial investors in the uplifting economy of any country. As a matter of fact since many years they have opened several opportunities to show their skills in national as well as international market. As the competition is also increasing day by day so it is necessary for these SME to grow up to standard of survival. As of now there is no as such hard and fast rule for an SME which assures its growth. However technology and Internet are two solid pillars on which a growth of SME relies.
As the times are changing, now the consumers as well as suppliers have started depending on Internet for its growth. However still there are some organizations which are considering Internet and Technology as one of the main aspects for growth. The major aim of this particular article is emphasized upon how technology and internet are creating impact on the growth of SMEs.
What are the impacts of Internet and Technology on the growth of SME?
According to many strategists the growth of any SME relies majorly on 2 factors:
- Product Growth.
- Market Growth.
The first aspect which is “Product Growth”, refers to the development and manufacturing of new products. The second aspect is “Market Growth”, depends upon the proper and strategy based marketing. The product growth entirely depends upon the manufacturing capabilities of the SME but the market growth depends upon the proper marketing of the product. From here the actual need of internet begins, as you can share and advertise you product to a large extent on a public platform.
As in the past large scale companies used to market their products on the cost of huge expenditure. But now with the help of communication sector and information technology sector the SME also have a great chance to compete with such large scale firms on a magnificent basis. With the help of internet and IT the SME can make internal collaboration and business with suppliers and marketers irrespective of their location and transactional cost.
New Opportunities for SME
In point of fact though the SME have such huge opportunities lying in their hands still they are unaware of the benefits of internet and technology. Still the market is flooded by the dominance of large scale enterprises. This often makes a very crucial question to arise is that despite of having equal opportunities and availability why only large enterprises are benefitting their business from Internet and Information technology. Why are the SME’s laid back and not using the appropriate resources to boost up their business? As every enterprise is launched with a lucid motto in mind to blossom financially and prosper in a long lasting manner. The answer to this on the other hand is very simple as the global market and its strategies are very complex and feel like an endless spiral for someone who is naïve or is lacking from apt resources. Due to the financial and moral barrier somehow the SME do not encourage themselves to step out and take such a huge step. In point of time whether an organization is large of small still it needs active participation in global trade and it requires SME to understand its criteria’s even more. The active participation of SME as compared to successful enterprises is even more crucial.
How is Information Technology and Internet helping SMEs?
With passage of time internet and technology has very swiftly taken over this scenario. The information technology is grooming up to launch such methods to bridge the gap between SME and e-connectivity. They have opened ways for SME to internalize and connect to global market at a large extent.
Information technology and internet has unbolted several trading platforms for such SME so that they can do end to end global trading without the involvement of third party. Hence such platforms are a boon to create a readymade infrastructure and a proper layout for marketing.
Another aspect is accomplished by developing e-commerce platform which reduces the distance between the consumer and the supplier. This in turn facilitates the global trade cost as well as local trade cost.
All in all it can it said that with the help of strong international presence and interpersonal skills any SME can reach up to the global standards. With the help of internet and technology there can be no other good time when SME can build a strong market presence.
For the up gradations of SME one must follows the trends of Information technology policies and implement them into their business for promoting growth. As globalization has tattered new opportunities and laybacks for SMEs. The SMEs growth is also crucial from the growth point of view of the country as growth of a company is totally depends on the economic growth of the company. For coping up with this trend one must some IT dynamics for reforming the growth rates.
The information technology can help you with developing proper channel strategy for the appointment and training of true and efficient partners who will help you in flourishing the business. The business which is properly channelized provides a return on investment profits and long lasting business opportunities. Along with it also you will have better opportunities to build relations at a global level. The IT sector has so far helped a lot of SME’s to build a strong and long lasting network of companies which are highly productive and efficient. The best part about the IT sector strategists is that they do not believe to provide just the same solution to every problem. They provide different solutions to different problems and along with it they also understand the requirement of a business and act accordingly. In this manner you can be assured that your team is now trained by the best customer support and they are under the best consultants available in the industry. Likewise you will be satisfied that your team is heading in a positive manner and with full confidence. In case of any sort of difficulty and lack of information you team will be assisted by the best of consultants.
What is a System Integrator and how does it helps in growth of SMEs?
For an SME to flourish it is very important that all of its components are working in synchronization. The role of a System integrator in uplifting the SME growth graph is that it works in order to gather the components of an organization under one roof. Along with it a System Integrator ensures that all the components of a company are working in co-ordination and harmoniously. As these factors play a key role in the development of the company. The major outcome of the system integrator is that it omits the problems and issues related to automation.
Although the term system integrators is associated with many firms but mainly it is associated with the Information technology sector, which acts as a backbone for all the SMEs.
E-commerce – A boon for flourishing SMEs:
The e-commerce is undoubtedly a boon for growth of an SME. With the help of e-commerce one can easily provide the advantage of reduced search cost as well as reduced transaction cost upon a commodity.
Employing the correct Marketing Services:
The correct marketing strategies will help the SMEs to grow and take their acknowledgement to a notch higher. The Export Promotion Agencies help and assist the SME to sell their products in overseas market. However the internet still has not got such authorities but somehow in some manner it has provided growth opportunities for this sector. For development the SME can introduce several programs:
- Developing an efficient Internet platform: this will bridge the gap between the buyers and suppliers. The business can be between the local and overseas market as well.
- Build strong interpersonal relationships: the business can flourish only if you know how to make people understand about your business as well as make strong professional bonds of reliability with them. As trust factor is needed in the internet platform as well. One needs to maintain a name of words amongst the clients and fulfill the commitments on time.
- Improve hold over finance: lacking in the finance is the major hindrance in this sector. By this the SME can introduce features like crowd funding which are beneficial by the business point of view.
As a conclusion it can be said that good growth and strategy is essential for growth of a company. As it is estimated that 90% of the companies and business is dependent upon the SMEs but still they are not able to extract the maximum benefits out of the provided opportunities. With the help of above mentioned factors a company can easily go for upgrading their business quality and standards. As the IT sector and internet are working as a vectors to break the ice between global trade and SMEs.