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Limitations of Financial Justification for a New Technology

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What factors are often overlooked in the financial justification for a new technology?

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This posting looks at the limitations of financial justification for a new technology

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In the evaluation choice, or financial justification stage, many managers appear to place too much emphasis on short-term profitability. This emphasis on short-term profit may hinder the adoption of new technology. Moreover, managers who do not get involved in the technological process tend to underestimate the financial resources to be allocated to technology-related activities and favour those ...

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