The Effect of Information and Communication Technology on Firm Performance in Indonesian Small Medium Enterprises

ABSTRACT : The purpose of this study is to determine how the influence of information and communication
technology on the performance of companies in the scope of small and medium enterprises in Indonesia. Data
from this research were obtained 41 questionnaires distributed to small and medium entrepreneurs under the
auspices of the Department of Trade and Industry of East Java who often received training and socialization of
information and communication technology to develop the business. The results of this study found that the
information and communication technology capital under study has a positive impact on the process and
product / service innovation. Limitations in this study are only using the scope of SMEs East Java as a sample of
research, so less able to generalize the results of this finding.
KEYWORDS: Information, Communication Technology, Firm Performance, User Expertise, SME’s.