Adoption of Information and Communications Technology (ICT) in Industrial Firms in Cameroon

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Fambeu, Ariel Herbert
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African Economic Research Consortium
The ICT revolution is already a reality for firms in developed countries and in many developing ones, especially that there is now solid evidence of how it has improved productivity and growth. But at the same time, the ICT penetration rate is still low in African firms. Using data on industrial firms in Cameroon, the present study is an attempt to establish the determinants of ICT adoption in the country. It uses a negative binomial model and a probit model selection bias correction. It transpires from the study’s econometric results that the size of the firm, the human capital of its employees, the proportion of its employees who are ICT-literate, its organizational practices, its manager’s qualities, and its regional location are the determinants of its ICT adoption rate. However, their discriminatory effect diminishes over time. From the study’s results, lessons can be drawn that can guide the development of an ICT diffusion policy, not only for the firms in Cameroon, but also for those in other similar African countries with a slow rate of ICT diffusion.