While the years under communism left the country with poor infrastructure and a limited experience in open business processes, the Czech Republic has rapidly transformed itself into an economically and politically stable environment which fosters innovation and growth. However, its strengths will enable the country to continue its rapid growth and compete with the rest of the world. As was eluded to in the opening paragraph, the Czech Republic's primary challenge is overcoming legacies of the past. Despite nine years of hard work, the country's telecommunications infrastructure is still far behind most Western countries. This results in limited capacity and high telephone costs which create a spill over effect on electronic commerce and the Internet.
Potential customers are unable to use the Internet due to prohibitive access fees.
With electronic commerce and the Internet becoming increasingly strategic components of companies' activities, a low rate of Internet usage may put the Czech Republic at an economic disadvantage compared to other countries. In addition, while the country experienced rapid economic growth for the first several years after the overthrow of the communist government, it is currently starting to feel the effects of some recent economic reforms. Unemployment and inflation are rising, and individuals are beginning to have less disposable income. They are unable to purchase as much, which will limit growth in all areas, including information technology. Finally, the Czech Republic must work on developing the country's high-tech sector to compete in hardware manufacturing.