The Economic Impact of Information and Communication Technologies (ICTs) on Microenterprises in the Context of Development

Abstract

AbstractThis paper investigates the impact of information and communication technologies, especially landline and mobile phones, computers, and Internet cafés in facilitating economic growth in the developing world. Data on access to ICTs, as well as business‐relevant behaviors and attitudes, was collected by a multi‐stage probability sample of women microentrepreneurs in Mumbai, India. Main findings include evidence that in urban microenterprises owned by women, business growth is a function of ICT access and is related to motivation to use ICTs for business purposes; and that the more positive a woman microentrepreneur feels about her status and power because of her business, the more she will be motivated to use ICTs in support of her business. Implications for the study of digital divides and strategies for studies of communication and technology more generally are considered.