INFORMATION TECHNOLOGY & BANGLADESH BUSINESSES

Effects of Information Technology Management in Bangladesh Business

Name of the Writer

Name of the Institution

Abstract

The impact of information technology can be seen in all aspects of life. Particularly the actual effect can be viewed in businesses that undergo a drastic change due to information technology. Nowadays, it is near to impossible for businesses to operate without information technology management because of its significant effect on business operation. Most businesses in Bangladesh are SME (Small and Medium Sized Enterprises), and information technology is essential for their profitability, sustainability and growth.

This research paper observed the effect of informational technology in Bangladesh business. The focus is to explore the advancement and opportunity information technology brings to businesses in Bangladesh. This paper also evaluates the benefits of information technology to businesses in Bangladesh.

Table of Contents

Abstract1

INTRODUCTION3

Background3

DISCUSSION3

The Role of Information Technology in Business3

Effect of Information Technology on Bangladesh Businesses4

Globalization4

Communication4

Cost Effectiveness5

Abolish Cultural Gap5

Competitiveness5

Initiatives Taken By the Government5

Textile Businesses of Bangladesh & Information Technology6

Reasons of Information Technology Support to Textile Industry6

Relationship between Information Technology & Textile Supply Chain7

New Business Models of Bangladesh Textile Businesses9

Data Warehousing and Data Mining9

E-commerce9

E-retailing9

SME Businesses of Bangladesh & Information Technology10

Government Initiatives to Boost Bangladesh SMEs10

Impact of Information Technology on SME Business10

CONCLUSION11

REFERENCES12

EFFECTS OF INFORMATION TECHNOLOGY MANAGEMENT IN BANGLADESH BUSINESS

INTRODUCTION

Many practitioners and scholars affirmed that the development of information technology (IT) has a significant effect on businesses, either large or small sized businesses (Sheth et al., 2000; Oliva, 1999; & Kakakota et al., 1999). Specifically, a significant effect is observed in the buying pattern of buyer due to information technology management (Widing and Talarzyk, 1993; Hoque and Lohse, 1999). The effect of information technology can be seen in both B2C (business to consumer) and B2B (business to business) industries. However, the effects on buying behavior of businesses are different in both quantitative and qualitative terms (Kotler, 2000; Kaplan and Sawhney, 2000).

Background

Currently, IT (Information Technology) is a topic that gauges the interest of worldwide businesses. Similar case with Bangladesh, nowadays 100 software houses exist in Bangladesh, 1000 Information Technology training centers - formal and informal, large number of computer shops, as well as data entry shops is 35 in number. The government if Bangladesh made a huge investment in IT sector in order to set up computer training centers in Bangladesh, particularly in each district and divisional headquarters. Furthermore, to facilitate business in Bangladesh the following initiative has been taken includes, duty free imports of computer hardware and software, deregulation of VSAT (Very Small Aperture Terminal), Digital Data Network (DDN). In Bangladesh, the government focuses on advancing information technology by introducing remarkable activities such as, e-governance, e-commerce, Internet, web browsing, development of multimedia product, web applications, computer networking, and others. All these steps were taken to boom Bangladesh businesses.

One of the major advantage Bangladesh posses in the market is low cost of labor easy availability in Bangladesh. However, the high costs of telecommunication evidently resulted in the reduction of company's potential and profitability in various sectors, which is critically dependent on the transfer of ...