Innovation Strategies Under Uncertain Regulatory Circumstances: Argentinean ICT MSMEs

Information Technology for International Development, 8(3), 53-67, 2012

16 Pages Posted: 11 Feb 2013

See all articles by Martha Garcia-Murillo

Martha Garcia-Murillo

Syracuse University - School of Information Studies

Date Written: October 22, 2012

Abstract

The purpose of this article is to identify the business strategies of micro, small, and medium enterprises (MSMEs) in the telecommunications sector in Argentina, considering the economic and technical uncertainties and the regulatory constraints they face. We focus on MSMEs because, even though these small businesses provide critical access to infrastructure in remote communities, there is little research about them. Departing from Michael Porter’s identification of strategies, we find that economic and political uncertainties lead to significant differences in strategies. Through content analysis of company interviews, we were able to identify strategies that prevail under suboptimal regulatory conditions. These are 1) survival, 2) slow modernization, 3) infrastructure capitalization, and 4) diversification and customization. We find that these are reactive and sub-optimal business strategies that impede companies’ growth and constrain them to vulnerable niche markets.

Suggested Citation

Garcia-Murillo, Martha A., Innovation Strategies Under Uncertain Regulatory Circumstances: Argentinean ICT MSMEs (October 22, 2012). Information Technology for International Development, 8(3), 53-67, 2012. Available at SSRN: https://ssrn.com/abstract=2214336

Martha A. Garcia-Murillo (Contact Author)

Syracuse University - School of Information Studies ( email )

220 Hinds Hall
Syracuse, NY 13244
United States
(315) 443-1829 (Phone)
(315) 443-5806 (Fax)

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