Question

When new technologies arrive, only a few customers adopt such technologies. A large number of customer remain sceptical about the product. The cost of the new technology remain high. As a result it take long time for the businesses to focus on the new technology until the dominant design comes and the price become affordable by the large number of consumers. From your point of view, what might be the reasons established firms might resist adopting a new technology..

Answer 1

The reasons that established firms might resist to adopt new technologies are as follows:

1. Firstly, it takes a lot of effort and skill to learn about operations and working steps of new technology.

2. It takes much time to learn and get expertise in using the new tool.It is difficult to adopt new one because employees are not familiar to the new one so they need practical training first then they will be comfortable to work with new tool.

3. To adopt new technology,first employees should get thorough knowledge about usage and it's effectiveness then only they can make consumer convince for it.

4. Likewise employees , consumers too hesitate to use new product so it takes a lot of explaining and convincing about how it will improve workflow and productivity of people's lives by saving their time and effort. It needs proper demonstration and awareness through various channels to encourage consumers to use tech savvy tool.

5. Sometimes,it gets tougher for companies to make people understand about worthiness of new technology product which might not be cost effective but hassle free.

5. Last but not least , well established firms fear of new technology if it gets failed,this will be wastage of time, effort and money they invested to learn.