Information Technology and the Business Communities: A Case Study of Small-scale Business Enterprises in Nigeria

Introduction The globalization of the economy, emergency information technology, the growth of the Internet and other network communication technologies, the growing diversity of business and increased competition, companies are change the way they communicate with new processes that raise business performance. The Internet is increasingly the basis for new business models, processes and new ways of imparting knowledge ( K. C. Laudon and JP Laudon, 2000 ). Small businesses use the Internet and networking technology to more of their work electronically to handle, reliable connection factories, offices and field staff around the world ( Dave C. 2000 ). This communication infrastructure is used by evolution with falling converged services and integrated application ( H. Lucas C and B. Jack, 1994 ). The convergence of information technology is an important trend affecting both current and future markets, industry and technology ( James, A. O, 2004 ). Companies such as shops, banks and institutions surveyed, the expansion of these networks to suppliers, customers and other groups outside the organization so they can respond immediately to customer needs and market changes. No doubt the information technology and organizational changes that companies make even more dependent than in the past, if it depends only on the knowledge, learning and decision-making processes of the individual employees bring. In addition, customer service, operations, products and marketing strategies and distribution depends largely on the information technology ( Brain K and C. Stacey, 2001 ). This research examines the impact of information technology on the economics of small business. This is the level of information technology has transformed business processes and applications for specific, efficient management, crime reduction, job creation and improving the security of information to be determined. This will help increase the available right kind of information at the right time at the venue for the optimal use of available resources to the quality of life in human society. Materials and methods: The study adopted a statistical approach. Responses from the various business / institutions, businesses, factories, local, markets, banks, petrol station, a bakery, school, internet cafe, hospital, poultry, boutique, hairdresser, telephone call centers, guest houses and sports centers on the questionnaire in some selected cities in Nigeria for over 11 months in 2008 were thoroughly checked and the conclusion in line with the hypothesis formulated drawn. Theoretical Background The discipline of information theory came into focus with Claude E. Shannon ‘ s classic paper, “A Mathematical Theory of Communication” in 1948. This theory deals with the amount of information and does not address the importance of information. Similarly, the theory fails to provide necessary assistance in the design of an information system. As a result, decreased the initial interest of theoretical computer science. However, the discipline begins to gain wide acceptance only in recent years. This is due to the fact that information technology now provides the necessary support to an information system that best serves attributed to some specific structure and use ( David M. K, 1992 ). Information technology, as defined by the Information Technology Association of America (ITAA), is the study, design, development, implementation, support or management of computer-based information systems, particularly software applications and computer hardware. In principle, transmission of information is concerned with the use of electronic computers and computer software to convert, store, protect, process, retrieve and secure information. Examples include information technology, personal digital assistants, PCs, phones, television, etc. ( Brain K. C and CS Stacey, 2001 ). Today, the concepts of information technology has ballooned, to include many aspects of computer and technology, and the term is more recognizable than ever before. The ultimate goal is the effective and efficient use of information make to resolve uncertainty and increasing productivity at every level, individual, society and government ( Charlse WL H, 2001 ). On this theoretical background, the hypothesis is formulated.

hypothesis: Two types of hypotheses have been formulated in this study, null hypothesis (Ho) and alternative hypothesis (H1).

null hypothesis: Information Technology does not have a positive impact on small business.

alternative hypothesis: Information technology has positive effects on small businesses.

decision rule: If the observed chi-square (X2) is greater than the critical Chi-square (X2) is the chi-square of the tables, accepted and Hi Ho rejected and vice versa. This decision is similar (A and AO Salami Usman, 2008 ). Data analysis and interpretation of results The data from this study were analyzed and the results interpreted in accordance with the questions, , Research Question 1: Has the introduction of information technology have implications for small businesses? Table 1: Impact of information technology on business growth and profitability Flow S / N Articles < ; / strong> Strong Accept Accept ,

Decline Strong Decline Row Total 1 Information technology has the standard of small business enterprise 120 (73) 92 (72) 28 (48) 16 (62) 256 2 Each unit has a company of information technology benefited

70 (55) 80 (53) ; 17 (36) 23 (46) 190 3 Information Technology is no positive impact on small businesses 12 (80) 15 (79) ; 103 (53) 150 (68) 280 4 Information Technology has attracted more customers for all economic entities 65 (42) 67 (41) 10 < / p> (28) 5 (36) 147 5 Information Technology is meant for large scale enterprises and not for small business enterprises. 20 (36) 27 (36) 30

(24) 50 (31) 127 / p> Column Total 287 281 188 244 1000 * Observed X2 = 463rd 3, critical X2 = 21 026, ? = 0. 05, df = 12 From Table 1, the expected frequencies in parentheses are calculated using the following formula ( Egbule J. F and DO Okobia, 2007). E = row total x column total ————————- – (1) Grand Total Where, E = frequency and Grand Total = 1000

; ROW I / p>

For the observed frequency = 92, , / p> For the observed frequency = 16, ROW II < / p> For the observed frequency = 70, observed frequency = 80, < / p> For the observed frequency = 17, < / p> For the observed frequency = 23, ROW III For / p> For the observed frequency = 15, / p> observed frequency = 150, < / p> ROW IV p> Frequency = 65, < / p> / p>

For observed / p> For the observed frequency = 5, ROW V For the observed frequency = 20, / p> For the observed frequency = 30, < / p> submitted for observed frequency = 50,

Application of the Chi-square (X2) statistic as in (Omorogiuwa, 2006); … … … … … … … … … … …. . (2) < / p> Where, O = E = expected frequency / p> By inserting into equation (2) above; < / p> The degree of freedom is given by df = (r-1) (c -1) … … … … … … … … … … …. (3) < / p> Where, r = number of rows and c = / p>

From Table 1 , r = 5 and c = 4 Df = (5-1) (4-1) = 12 critical value of chi-square = 21 X2. 026 (from tables) in a test value of ? = 0. <05 / p> View These results indicate that the observed chi-square = X2 463rd 2 (for calculation), is greater than the critical value of chi-square = 21 X2. 026 (from tables), is a test value of ? = 0. 05 and degree of freedom df = 12 This indicates a significant relationship, and it implies that information technology has a positive influence on growth and generally increased income flow. Research Question 2: Has the introduction of information technology in small Economy companies offer more employment opportunities for unemployed Nigerians? Table 2: Job opportunities with the help of information technology S / N article , Strong Accept Accept < / p> Decline Strong Disagree < p> Row Total 1 Information technology has a revenue source for many young school leavers provided 201 (149) 152 (119) ; 35 (78) 29 (77) 417 2 Information Technology offer vacation employment for many students 116 (107) 101 (86) 39 (52) 44 (56) 300

3 Drastic reduction of mass unemployment since the implementation of information technology in business. 40 (101) 33 (81) 98

(49) 112 (52) 283 / p> Column Total 357 286 * 172 185 1000 observed chi-square = X2 273rd 6, critical X2 = 12 592, df = 6, ? = 0. 05th The results of Table 2 show that the null hypothesis (Ho) is rejected and alternative hypothesis (Hi) is accepted. The observed value of chi-square equal to X2 273rd 6 (from calculation not shown for convenience), is greater than the critical value of chi-square = 12 X2. 592 (from tables), with a degree of freedom df = 6, with a test value of ? = 0. 05th This indicates a significant relationship implies that the introduction of information technologies in the economy provides more jobs for unemployed Nigerians.

Research Question 3: From the relative influence of the introduction of information ; technology into effective business management?

Table 3: Information technology in efficient management S / N article Stark ‘/ strong> Accept < ; / strong> Accept Decline Strong , Decline Row Total ; first to improve Information technology proper planning and execution of business strategies 102 (90) 96 (92) 17 (28) 30 (35) 245 2 Information technology helps the skills of business men to improve 90 (71) 90

(72) < / p> 6 (22) 7 (28) 193 3 Business-men are now more aware of time with the advent of information technology 78 (74) 87 (75 ) 15 (23) 21 (29) 201 4 Information Technology advises unjustified travel. 97 (132) 102 (135) 76

(41) 86 (52) 361 / p> Column Total 367 375 114 144 1000 Chi-square = 120 X2 4, critical X2 = 16 919, df = 9, ? = 0. <05 / p> View the results that the null hypothesis (Ho) is rejected while the alternative hypothesis (H1) is accepted. The observed chi-square = 120 X2 4 is greater than the critical value of chi-square = 16 X2. 919 [from table], with one degree of freedom df = 9, with a value of test ? = 0. 05th This indicates a significant relationship, which means that the introduction of information technology in effective corporate governance helps implied. Research Question 4: Has the introduction of information technology, the rate of ; Fraudulent activities in the business? Table 4: Information technology to business fraud

S / N Articles < ; / strong> Strong Accept Accept , Decline Strong rejection line Total 1 ‘/ P> Information technology is a weapon in the fight against fraudulent activities in the economy 76′ / p> (58) 1990

(54 ) 18 (42) 25 (55) 209 2 Information technology promotes dishonesty in business 39 (78) 45 (72) 17 (57) 112 (75) 283 3 Only the rich can effectively use information technology to crime 25 (66) Combat 32

(61) < / p> 86 (49) 97 (64) 240 4 To support the use of information technology in reporting to law enforcement authorities cheaters 136 (74) 89 (69) < ; / p> 12 (54) 31 (71) 268 / p> Column Total 276 256 203 265 1000 * Observed Chi-square = 320 X2 5, critical Chi-square = 16 X2. 919 closed. df = 9, ? = 0. <05 -p> The results show that alternative hypothesis (H1 accepted) and the null hypothesis is rejected. The observed chi-square (x2 = 320 5) is greater than the critical value of Chi-square (x2 = 919 16th out of using tables) to a degree of freedom df = 16 ? = 0. 05th This indicates a significant relationship, which means that information technology reduces implies, the rate of fraudulent activities in the economy. discussion communicate the results of this study useful answers to the research questions. Show on the impact of information technology resources on growth, income and the general flow of job creation, the results of the study that a majority of small businesses have benefited tremendously in these areas. It was obvious that operate some of the respondents in the retail of GSM-materials and other IT resources, in addition to their goods and services. This exception, contributes to growth, general flow of income and providing jobs for the unemployed. The effects of information technology on business and efficient time management, some of the respondents agreed in general, as shown in Tables 1-4, the alternative hypothesis, method, that it was positive. It was however noted that despite the use of information technology for business operations, most merchants still lack of efficiency in service delivery. This can be attributed to poor business skills, or lack of background. It is therefore not surprising that positive changes in management are still not reached. It could, however, hoped that modern information technology will contribute to the sense of business and time management skills will sharpen. Conclusion and Recommendation Finally

has improved information technology small businesses in Nigeria. To consolidate on the present state of implementation of information technology in business, have much more improvement are welcomed. These include, rendered the improvement of the level of IT services for business enterprises, broad coverage (especially in rural areas), reduction of tariff and better connectivity. In line with the research, it is recommended that IT service providers need, efforts to maximize use of the high penetration of business enterprises to intensify. This exception, will contribute to the combined population of the advantages to illuminate the applications of information technology. The rate for all service providers is too high. As a result, reduces the number of users who go online for Internet Marketing. To reverse this trend, it is recommended that the levy should be deducted from the service reduced to encourage more small businesses in Nigeria. References Brain K. W and S Stacey C. (2001): Using Information Technology: A Practical Introduction in the computer and communications technology, 4th Edition, Mc Graw-Hill Companies Inc, New York, USA. Pp 78-94. Charlse WL H (2001): Global Business, 2nd Edition, McGraw Hill Companies, New York. / p> Dave C et al, (2000): Internet marketing strategy, implementation and practice, Pearson Education Limited, England. David M. K (1992), Management Information Systems, 2nd Edition, Mc Grow Hill Companies Inc, USA. Egbule J. F and O Okobia D. (2007): Research methods in education for colleges and universities, Kmensuo Educational Publishers, Agbor. Chapter 3 James B AO (2004): Management Information Systems: Managing Information Technology in the Business Enterprises, 6th Edition, McGraw Hill Companies Inc, New York USA. Chapter 5 & 6 C and K. Laudon. Laudon J. P (2000): Management Information Systems: Organization and technology in the networked enterprise, 6th Edition, Prentice – Hall, Inc, USA. C and B, Jack H. Lucas (1994): “The role of information technology to design in the organization.” Journal of Management Information Systems 10th No. 4 pp 56-89. Omorogiuwa OK (2006): Research and Applied Statistics for the Behavioral Sciences: An Introduction. Mindex Publishing Company Limited Benin; City. / p> OA Usman and AO Salami (2008): The socio-economic impact of the global system for mobile communication (GSM), a student, Journal of Economic Theory 2 (2): 63 -70.

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