- Initial costs of installation are high
- It creates unemployment
- It requires skilled manpower and this means high cost of training
- It has a negative impact on social patterns such as isolation
- It causes resistance to change within the organization
- It can be abused by employees
- Technology may not adopt to the local situations e.g. remote areas
- Accidental/malicious damage can result to lose of data
- It may have negative effective like human health
- In case breakdown, it interferes with production
- Its only usable where there is available power /electricity
- Technology changes fast and it may be difficult for entrepreneurs to keep upto date.