Innovation Strategies Under Uncertain Regulatory Circumstances: Argentinean ICT MSMEs

The purpose of this article is to the of micro, small, and medium enterprises () in the telecommunications sector in Argentina, considering the and technical uncertainties and the regulatory constraints they face. We focus on because, even though these small businesses provide critical access to infrastructure in remote communities, there is little research about them. Departing from Michæl Porter’s identification of , we find that economic and political uncertainties lead to in . Through analysis of company interviews, we were able to identify strategies that prevail under suboptimal regulatory conditions. These are 1) survival, 2) slow modernization, 3) infrastructure capitalization, and 4) diversification and customization. We find that these are reactive and suboptimal that impede companies’ growth and constrain them to vulnerable niche markets.

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