The use of technology is important because it increases labour productivity and this in turn increases local competitiveness for both consumer and producer. Technology selected by entrepreneurs should favour locally produced tools and equipment. This makes it easier to maintain them and replace them wwhen necessary.
Characteristics of appropriate technologies:
Simple: It must be simple to operate, with minimal adjustment problems..
Effectiveness: The technology should be judged by how well it fits in with the objectives of the user.
Availability: The technology should be easily available locally.
Flexibility: The technology selected must be able to adapt to changing times and technologies e.g. upgrades.
Durable: Technology that is durable requires less maintenance and repairs.
Efficient: It should be efficient in utilization of resources.
Cost Effective: The cost of technology should be justified by it’s overall benefits. Benefits should outweigh costs.