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Internet access boosts firm performance – even in difficult business environments

Caroline Paunov's picture
The Internet may boost private sector development in developing and emerging countries by improving access to market information, by facilitating more effective coordination of firms’ production and delivery chains and by creating new business opportunities. However, impacts on firm performance may not be equally strong across regions of the world, and differ with countries’ development status. A potential reason for weaker impacts is cumbersome framework conditions - shortcomings in physical infrastructures, weakly developed financial markets, and an often insufficiently skilled labor force.