Technological evolution has been a defining characteristic of the 21st century. With it, the pressure to transform and adapt has been an immense burden on the backs of businesses.
Many owners have found it difficult and particularly expensive to keep up and, thus, have decided to firmly resist technological change. Generally, such a move is criticized, and those people are labeled as the ones who will be left behind.
However, are there any situations where showcasing a resistance to technological change is justified? Yes, there are.
Developing a resistance to technological change can be justified, with the drawbacks outweighing the benefits.
Here are some reasons why business owners might resist technological change.
Creates Ethical Dilemmas and Concerns
The biggest justification for resisting technological change is the conflicts it generates with widely held, or not so widely held, moral principles. A robot cannot distinguish between what is right and wrong when the humans who program it have differing moral standpoints.
But personalized robots are a thought for the distant future. In the present, the biggest fear factor is a lack of data privacy and confidentiality. New technologies make it easier for cybercrime to occur.
Poor regulatory frameworks that fail to safeguard the personal information of individuals, especially critical data like healthcare, are another factor. Both can result in depleted customer trust in the business, so many firms choose to stick to existing and traditional infrastructure.
Increases Economic Inequality
Every new-age technology is first adopted by wealthy conglomerates and technological giants. Now, they are the ones responsible for the R&D that led to the technological advancement, so it is not their fault if they benefit from it.
However, for small businesses that have limited capital and resources, it is a bane. For them, there is generally a lack of understanding and awareness of this technology. So, without the knowledge or the means to adapt to the change, they can only suffer negative externalities.
Automation is a fear that regularly visits the minds of employers and employees alike. It can result in the loss of jobs and widespread unemployment if the skill can be replicated cheaply by a machine.
Damages Social Cohesion
Roughly 99.9% of businesses in the United States are small businesses. They range from mom-and-pop stores with five employees to mid-sized factories with less than 500 employees.
Most have been in operation and have been catering to the local economy for many years. They have become a critical aspect of the community. Technological changes can push these ventures out of business, just like MNCs have been doing, but at a quicker rate.
Many of these businesses also provide a product or service that is based on cultural practices they have developed over centuries. Commercialization of these practices on a large scale can cause permanent damage to the livelihood and existence of these communities.
Closing Thoughts
Each of these points presents a genuine justification for companies to develop resistance to technological change. To address their concerns, advancements in technology should be made with social, economic, and ethical considerations in mind.
