Technological Innovation in Business and Where AI Fits In

What about AI? That is the question that has been at the beginning, middle, or end of every conversation about tech in the past 4 or 5 years. Where is the AI? A huge public relations engine has been trying to convince us that AI is a good thing. The same we heard about the internet in the early days of the world wide web. And like the internet, AI is coming whether we like it or not. So like any technological innovation in business in the past 50 years, the question becomes, what are you going to do about AI?

It is important to know how AI fits in with a larger trend in the business landscape. And that is, how large corporations harness technological leaps and how small businesses usually get the scraps from what is left. Let’s take a journey through the past. And learn how AI might be different this time around.

Major Technological Innovations in Business: The Last 50 Years

Over the last 50 years, technological innovations have fundamentally transformed the landscape of business, affecting both large corporations and small businesses in profound ways. In the 1970s-1980s, personal computing marked a pivotal shift, allowing businesses to streamline operations and improve efficiency. For large companies, this meant automating processes that were previously manual, leading to cost savings and productivity gains. 

But a technological divide existed, growing wider every year. For example, large companies benefited from economies of scale when adopting new technologies. They could spread the high costs of these systems over a larger revenue base, while small businesses had no options to do so. Research by the National Bureau of Economic Research (NBER) highlights how this disparity limited small businesses' ability to modernize.

The rise of the internet in the 1990s catalyzed a new era of communication and commerce. Ecommerce platforms revolutionized technological innovations in business operations, allowing even small shops to reach global markets. Large businesses embraced online sales channels, enhancing their distribution networks and customer reach. This digital shift highlighted some small businesses becoming powerhouse companies. So it appeared like the “little guys” were winning? Mostly, no.

While there were examples like Amazon that had small beginnings, they were an outlier.

While small businesses benefited from the internet, large companies were able to innovate and grow at a much faster pace. They could invest in research and development, leading to new products and services that small businesses struggled to compete with. And they were able to revamp and redesign their website and services quicker from one year to the next, keeping up with trends.

Small businesses that could get on the internet and sell products were the last ones to do it in ways that were helpful and resourceful to internet browsers.

In the 2000s, mobile technology further transformed the business landscape. Smartphones and mobile apps empowered consumers with immediate access to information and services, prompting companies to adapt their strategies. Large businesses invested heavily in mobile applications to enhance customer engagement and streamline operations. 

While this created an opportunity for small businesses, the widening gap expanded even further. Many small businesses lacked the financial resources to develop custom mobile apps or optimize their websites for mobile devices. The rapid pace of technological innovation in business operations required specialized knowledge and skills, which small businesses often struggled to acquire.

So where are we now? At the precipice of a new technological revolution with AI. Do we expect anything different? Not really. Unless we do something.

Making AI More Inclusive for Small Businesses

We believe in making AI more inclusive. It’s that simple. That means changing the old paradigms when it comes to technological innovation in businesses large and small. 

We can no longer assume that economies of scale are only available to large companies that can afford it. Like personal computers, the internet, and mobile devices before, AI provides an avenue for business growth exponentially to those able to harness it. And small businesses don’t have to be left behind.

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Many small businesses are hesitant and have reservations regarding AI. And that is understandable. But like previous innovations that have come before, we believe education and mindset can transform small businesses to compete with their larger competitors. We balance human creativity with AI smarts, making sure you tap into the full potential of both. It’s all about helping you thrive in a way that’s innovative, efficient, and truly impactful.

Let’s be a part of doing things differently with AI. Let’s be a part of our own revolution, infused with inclusive opportunities for businesses of all sizes.

Who’s with us?