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In the EU, small and medium-sized enterprises (SMEs) are currently experiencing significant benefits from information technology. According to a survey of 10 EU countries, SMEs report revenue growth ranging from 33% to 41% through the use of Information and Communication Technologies (ICT). They also improve business process efficiency by 38% to 64%, and enhance customer service quality between 40% and 54%. For China, the impact of informatization is unique. First, it plays a crucial role in opening up new markets and acquiring customers. Unlike large corporations, which focus on retaining existing clients, SMEs are more concerned with attracting new ones. This makes informatization essential for their survival and growth.
Second, informatization helps strengthen management, increase efficiency, reduce costs, and boost profits. Many Chinese SMEs originate from family businesses, which often face challenges in implementing scientific management systems. As these businesses grow, the need for better management becomes increasingly urgent.
Third, informatization provides access to critical information—market data, internal management insights, and talent resources. The role of informatization in SMEs is therefore vital, directly impacting their ability to survive and thrive.
Looking at the current state of IT development among SMEs, we can see that the adoption rate of corporate internet in many developed countries has reached as high as 79.9%, nearly 80%. With globalization, Chinese SMEs are entering a similar stage, facing competition from highly developed international players. China's manufacturing presence is global, but integrating with global informatization remains a key challenge.
In terms of e-commerce usage, there is a stark contrast between China and other countries. In Canada, 60% of companies purchase online, while in Denmark, 32% sell online. In China, however, less than 10% of SMEs engage in online transactions. This gap highlights the urgency for improvement. If Chinese SMEs do not keep up with technological advancements, their competitive edge could be severely weakened.
In Europe, the trend toward e-commerce is rapidly evolving. A year ago, 50% of retailers believed their products should not be sold online, but this number dropped to 39% within a year. This shift indicates a growing willingness among SMEs to embrace digital transformation.
Several trends are emerging in the informatization of foreign SMEs. One is the integration of technology with business and management innovation. Another is the expansion of e-commerce and outsourcing, leading to deeper supply chain integration. Since 2006, two-thirds of European SMEs have searched for suppliers online, conducting procurement and sales activities digitally. About 10% have already connected their ICT systems with suppliers or major clients.
Additionally, ICT providers are offering more affordable, simple, and innovative solutions tailored to SMEs. New technologies are also gaining traction, influencing SMEs through demonstration effects. Countries like the U.S., Japan, and South Korea are also investing in training programs for SMEs and their trainers.
China’s journey in informatization has evolved over time. Before 2000, most enterprises developed independently. From 2000 onward, it marked the beginning of real technology introduction. The next five years will be a period of widespread adoption, followed by improved integration and eventually full collaborative business development.
Currently, 80% of Chinese SMEs have internet access, comparable to developed nations. However, only 5% use ERP systems, and under 50% engage in e-commerce. This highlights a gap in application. To address this, various initiatives are being promoted, including telecom-driven solutions, industrial cluster development, and e-commerce platforms.
The government is also playing a key role, introducing policies to support SMEs. Social organizations, service platforms, and IT talent services are also contributing to the ecosystem. While challenges remain, such as low application rates and limited access to skilled personnel, the future of SME informatization in China looks promising, driven by both policy and market forces.