Use of new technologies by firms decline in 2018
By Taonga Sabola:
A study by the Malawi Confederation of Chambers of Commerce and Industry (MCCCI) has revealed that the number of businesses that usually use and absorb technology dropped to 58.62 percent in 2018 from 78.18 percent in 2017.
The development comes at a time the use of new technologies by businesses hit a new high across the world as firms attempted to improve efficiency and convenience.
The study also reveals that the number of firms considering using technology has dropped to 3.45 percent from 10.91 percent.
“The decline in use and absorption of new technology may be attributed to failure of these technologies in bringing benefits to businesses, hence the increase in the number of companies unwilling to adopt new technologies,” MCCCI says in its Malawi Business Climate Survey.
The results also indicate that a significant 3.45 percent of businesses do not use technology at all and the number of those that somehow use and absorb technology has increased to 34.48 from 10.91 percent.
The survey also revealed a slight decline in the way businesses utilise information and communication technologies in their daily business operations.
It says although there has been a slight decline in internet usage, which may be attributed to high cost of communication in the region, the use of internet and email was common in 2018.
It adds that usage of automated accounting systems saw a significant increase in 2018.
The survey also reveales a slight increase in collaboration by businesses with suppliers, competitors, clients, universities and research organisations in risk spreading, combining ideas and leveraging on each other which allows them to lower costs which they would otherwise face as a stand alone investor.