Digitalization and its effect on the performance of small and medium-sized enterprises

The principal aim of this study is to determine the effect of digitalization on the performance of SMEs in the ACCA. Specific research objectives are to: (i) measure the existing level of digitalization among SMEs in the research area; (ii) identify the areas where digitalization helps improve SMEs' performance; (iii) evaluate factors that influence SMEs' decisions to digitize their business models; and (iv) examine barriers to digital technology faced by SMEs. Research questions are formulated for each of the objectives as indicated in Chapter 1 to achieve the overall aim of the study. The study focuses on finding out the use of digital technology among SMEs and its effect on business performance. The study is, however, limited to Accra. The study also reviewed existing literature on the research subject as additional knowledge to buttress the findings of this research. A quantitative research method is adopted for the study, and a survey research design is used for data collection. The development of the survey questionnaire for the study utilizes an adapted research instrument from existing literature. Data collected from respondents are analyzed using the statistical software Statistical Package for the Social Sciences (SPSS) version 20.0. Processed data from SPSS is measured using the adopted measurement model, which is tested for internal consistency, composite reliability, validity, and significance of the constructs of the variables. Based on the findings from the analysis, major findings, implications, and recommendations were extracted from the results.