Performance perspectives for small and medium enterprises in Cameroon: innovation and ICTs

  • André Dumas TSAMBOU University of Yaoundé II-Soa
  • Benjamin FOMBA KAMGA University of Yaoundé II-Soa
Keywords: Innovation, performance, SME, ICT

Abstract

This paper studies the combined effects of innovation and information and communication technologies (ICT) on the performance of Small and Medium Enterprises (SMEs). To do this, it uses data from the «General survey of Companies in Cameroon», conducted on 93,969 companies by the National Institute of Statistics (NIS). Of the 93,969 companies surveyed, only 8035 enterprises were questioned according to the synthesis report published in 2010 by the NIS. From this sample, this study extracts innovative SMEs and applies a multiple regression model to assess the direct effects of innovative activities and the use of ICT on SME performance. The econometric analysis shows that: ICT helps to increase SME performance by supporting innovation through the acquisition of new software and hardware equipment. Thus, innovation accompanied by the firm’s use of ICT has a significant effect on performance since Software and Machinery Acquisition related to technological innovations contribute to the firm’s productivity. However, the degree to which the use of ICTs is rooted in the company can accelerate the innovation process and, in the same way, improve firm performance in terms of cost reduction and rationalisation of processes.

Author Biographies

André Dumas TSAMBOU, University of Yaoundé II-Soa

Faculty of Economics and Management

Researcher

Benjamin FOMBA KAMGA, University of Yaoundé II-Soa

Faculty of Economics and Management

Professor PhD

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Published
2018-01-23
How to Cite
TSAMBOU, A., & FOMBA KAMGA, B. (2018). Performance perspectives for small and medium enterprises in Cameroon: innovation and ICTs. Timisoara Journal of Economics and Business, 10(1), 68-87. https://doi.org/https://doi.org/10.1515/tjeb-2017-0005
Section
Articles