With the emergence of newly innovated business establishments in the Philippines nowadays, no doubt, technology became a part of their progress. And with that scenario, with the aid of the modernization and quick changing technology, the competitiveness and productivity of a firm is an issue. That is why, it is essential to know the role of technology to SME’s. This paper aims to know the effect of technology to the competitiveness and productivity of SME’s. In a store that is innovated by new gadgets and other forms of technology, the customers tend to buy to them. As a result, the competitive advantage and higher production level is in them. Also, customers are satisfied with technology as a big help for SME’s competitiveness and productivity.
Most of the people in the world from the last decades wonder why the "middle" on the field of business is missing. Due to this, they cannot make decisions on how large companies and corporations suit their products and services offered, be filled into micro enterprises. So they came up with an idea of building a firm or a business establishment or the so called "Small and Medium Scale Enterprises" or "SME's". Small and medium scale enterprises are built to foresee the development of small scale businesses through the help of these large companies. (Rigol, Field &Mande, 2011).
It is widely known that small and medium scale enterprises play an important role on the vitality of local economies around the globe. SME's are to be considered as growth engines of economies. One of the keys of that progress, it is because of the quick changing world, adaptation to modern technology. This results to the firm's competitiveness and productivity. With the emergence of this technological advancement, economic opportunity is colossal, but countries who fail to encourage SME growth today through technology, could face stagnant economies tomorrow. (Ayala, 2014).
Based on the study made by Yongyoon& Moon-Soo (in 2014), SME's can lead successfully and even internationally with the help of technology, most by its innovation in Korea. Technology serves as an aid for these enterprises to strive more in attaining and maintaining competitive advantages. Also, according to the study, those leading SME's influence that starting and smaller enterprises to occupy a spot as a leading SME through technology. And surprisingly, this results into the customer satisfaction and higher demand to those lower ranked SME's.
It is visible in the Philippines the growth and emergence of Small and Medium Scale Enterprises. Such stores offer products and services to people for their needs and wants to be sustained. In the world nowadays in the era of modern technology, many techniques and strategies are born to make the business bigger. And this what took our curiosity in action to our research, "The Effect of Technology to the Competitiveness and Productivity of SME's".
This research focuses on how technology affect the competitiveness and...