Information Technology and the Performance of Japanese SMEs

Masayuki Morikawa

Small Business Economics, 2004, vol. 23, issue 3, 177 pages

Abstract: This paper examines the impact of investment in information technology (IT) on the performance of Japanese firms. My findings imply that there is a positive and statistically significant relationship between IT and firm profitability and innovation, but only for small firms. These results underscore the importance of investment in IT for small companies. The acceptance of IT by this sector is fundamental to the success of structural adjustment in the Japanese economy.

Date: 2004
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