ICT Infrastructure investment and the level of ICT maturity in SME’s in Africa

Abstract

Purpose: The aim of the study was establish if increased information and communication technology (ICT) infrastructure investment at the macro level improves the micro level ICT Maturity level within small and medium enterprises (SME’s in Africa. The research further established if urban SME’s benefit more than rural SME’s in terms of ICT maturity level if there has been increased ICT infrastructure investment. Methods: The study makes use of factor analysis to compose a composite index that measures the ICT maturity levels within SME’s in Africa. Further to this it uses that composite index to do statistical tests on the means of samples to answer hypothesis based on the research questions posed. Results: The study finds that there is a significant difference in the ICT maturity level of small and medium businesses in African countries where there has been and increased level of ICT infrastructure investment. Furthermore the study finds that in those African countries where there has been increased ICT infrastructure investment urban SME’s have higher ICT maturity level than rural SME’s. Conclusion: This study has important implications for governmental as well as private sector policy relating to ICT infrastructure investment. The study further also empirically could guide ICT investment towards rural SME’s as a means of improving economic benefit from ICT.