The technology sector has been one of the most productive sectors in which to invest in recent decades. In the US stock market, it is the largest segment of the stock market, above other typically stock market sectors such as financial or industrial. Without a doubt, the technology sector is synonymous with innovation, progress and the future. And one of the keys to investing is that the benefits are always in the future.
Today it is essential to invest in agile technological tools for the development of a company, despite that, most entrepreneurs are not clear about the importance of acquiring and investing in technological infrastructure, thus risking lowering the profitability of their company.
To lead in the market, you have to compete more and more and for that, what is better than to have integrated information systems that generate solutions that allow you to automate all your processes in terms of documents, time, sales, billing, among others.
Technology companies from the investor’s point of view
One of the constants of technology companies is that they tend to trade at higher multiples than the rest of the market. Investors tend to overvalue growth expectations, and therefore the shares of these types of companies tend to be more expensive than the average.
This excess of optimism is also reflected in the fact that in many cases investors are willing to invest in companies that do not produce profits or cash flow at the present time. When building valuation models, more use is made of estimates about the future, and the future is by definition uncertain.
Benefits of Investing in Technology
By investing in technology your business:
- Will have a higher growth projection to be able to compete nationally and internationally.
- You will better position your company and have greater visibility in the market.
- There is bound to cost reduction and revenue increase.
- Access information from anywhere.
- You will be able to design clear strategies that will allow you to quickly create information models
- It will optimize the productivity of your company.
- It will be a different company that will be able to focus on its objectives by implementing new ideas and providing more effective solutions
- The power of a good work tool will make your life easier, allowing you to spend more time on your business focus and personal affairs.
In Mexico, companies that have opted for technology report sales growth of up to 10%.
The world’s largest companies are investing more and more in technology. According to an IDC study, the largest companies on the planet spend about a third of their technology spending on the salaries of their telecommunications equipment. Their investment is primarily focused on adopting a technology platform, a way of calling mobility, big data and cloud solutions. Also, in projects to improve customer service.
How much do Mexican companies invest in technology?
In Mexico, companies that have opted for information technology within their operations and how they offer their services, report sales growth of up to 10%. This is also due to investment in mobile commerce, as purchases through mobile phones have increased in recent years.
The study shows that Mexican companies spend on average a little less than 2% of their total income in investing in technology and technological development within their operations. A percentage that should be higher to report growth. The report also indicates that IT solutions should be viewed as tools to improve the workforce and enhance your presence in the digital environment.