BDI Fact Check | Mittelstand & Family Businesses The German Mittelstand
Digitalisation and innovation
Can SMEs take the digitalisation for granted?
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Digitalisation offers companies many opportunities in terms of products and services, pro cesses and structures, resource efficiency, and new business models. At the same time, small and medium-sized enterprises face fundamental challenges: Digitalisation is a matter of high investment costs, constant data and legal security, access to knowhow through internal and external networking, and successful cultural change.
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High-speed nationwide broadband networks are the lifeblood of digital applications. However, Germany’s digital infrastructure lacks behind in international comparisons and remains a key obstacle for businesses, especially for SMEs in the countryside. Strategic investments are long overdue.
Challenges in enabling digitalisation Source: IfM Bonn (2020a)
N=135; in percent Extending digital infrastructure
79.1
Increasing IT security
74.1
Ensuring data protection
43.7
Ensuring access to AI skills
38.9
Further developing/ enforcing legal framework
38.0
Expanding digital networking between companies
31.5 0%
25 %
50 %
75 %
100 % 27
