Information technology innovation and its impact on job creation by SMEs in developing countries: an analysis of the literature review

ABSTRACT

This study reviews the literature on the role of technology innovation in job creation through small businesses in developing countries. A seven-step approach to the literature review is used for synthesising relevant data. The results show that technology innovations influence employment creation in small businesses positively and act as a driving force for economic development. The effective use of information technology in small businesses has a major impact on their competitiveness and access to international markets. Thus, the need for the government to develop technology innovative strategies for small businesses to actualise their firm performance and enhance job creation is recommended. The findings and proposed theoretical model of the study enrich existing theories and would help policymakers understand the role of information technology innovation in job creation and economic development.

KEYWORDS:

• Employment creation
• SME performance
• developing countries
• ICT

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes on contributors

Samwel Macharia Chege is a PhD student at Donlinks School of Economics and Management, University of Science and Technology Beijing, China. He holds a master's degree in Entrepreneurship from Jomo Kenyatta University of Agriculture and Technology (JKUAT), Kenya. He has wealth of experience in technology innovation and enterprise management at Chuka University, Kenya. His research interests include technology innovation, business management and entrepreneurship.

Daoping Wang is a full Professor and PhD tutor at the Donlinks School of Economics and Management, University of Science and Technology Beijing, China. He received his PhD from the University of Machinery Engineering and post-doctorate degree from Tsinghua University, China. His teaching and research interests include information technology innovation, data mining and data warehouse, supply chain and logistics management, IT project management and electronic business. He has many publications in his area of interest.

ORCID

Samwel Macharia Chege http://orcid.org/0000-0002-1543-7972