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the competition, whether tools are very important

small, big or global. Both the traditional and the

for

the

competitiveness

of

the

business.

There

ICT are

number of reasons why an SME might not implement ICT tools, funds, lack of knowledge, lack of skilled staff, lack of tools etc.

such

as

limited

2.3 Research questions

2.3.1 Main research question How can SMEs use ICT to become competitive in South Africa?

      • 2.3.2

        Secondary research questions

        • What is ICT?

        • What are SMEs?

        • What is the current state of affairs regarding the use of ICT by SMEs in South Africa?

        • What are the stumbling blocks for SMEs in using ICT as a competitive tool?

        • In which ways could SMEs use ICT to become competitive?

    • 2.4

      Hypothesis

SMEs contribute greatly towards the growth of the GDP and the reduction of unemployment in the South African economy, and as a result they need to stay competitive and up to date with economic changes. The way business is done has changed and continues to change; the products and services are more digitised and knowledgeable. At the heart of these changes is ICT. Various authors such as Lucchetti and Sterlacchini (2004), Galloway and Mochrie (2005) say that the adoption of ICT can give SMEs the ability to be innovative and flexible, widen their markets, reduce their turnaround times, and allow them to extend their trading hours. In order for SMEs to succeed in using ICT as a competitive tool, they should include ICT as part of their business strategy and make sure that it is aligned with their business goals, then integrate it with

MIT 840

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