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Ambar Singh Roy

Kolkata , Sept. 29

ADOPTION of information technology by small businesses is expected to boost the PC hardware market, with incremental PC sales expected to touch 4.8 million units by end-2005.

According to a study conducted by the New York-based Access Marketing International (AMI) Partners Inc, half of the small businesses in India want to embrace the benefits of computing technology by end-2005.According to the study, small businesses are definitely price-sensitive when it comes to buying computers. Other factors include cost of PC maintenance and computer training.

PC vendors would need to introduce financing schemes and spread awareness among small businesses about the advantages of using computers.

Creating awareness is key because 60 per cent of them feel computing technology has little relevance to their business, or is worth the cost.

The study states that some small businesses fear their data may get stolen or copied. Nearly two out of five small businesses admitted they were hampered by the complexities of PC installation, support and utilisation.

Introduction of short-term computer programmes could go a long way in helping overcome these barriers and promoting PC adoption, the study states.

However, one overwhelming factor influencing computerisation is the fear of being left behind in the race for business and technological superiority.

Over 40 per cent of the businesses confessed to such fears. One third of the companies said direct pressure from stakeholders was the main motivation for computerisation.

Another factor was the desire to leverage the Internet for customer support operations and improving efficiency.

The study also states that over a quarter of small businesses in India prefer accessing different software over the Internet, as opposed to buying packaged software in the form of diskettes or CD-ROMs.

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