Nearly one in six Australian businesses won’t use AI at all. Shopify’s managing director explains why we’re falling dangerously behind.
What’s happening: Australia’s productivity growth has stalled despite having talented, creative entrepreneurs. The gap between potential and performance continues widening as outdated systems create barriers rather than support for business growth.
Why this matters: Without removing these barriers, Australia risks falling further behind globally while missing the opportunity to unlock community-wide economic growth through entrepreneurship-led productivity gains.
The access problem
Starting a business in Australia has become “exhausting” rather than exciting, according to Shaun Broughton, Managing Director APAC & Japan at Shopify. He argues the problem isn’t ambition—it’s access.
“Too often, founders spend their early days navigating outdated regulation, complicated compliance, and fragmented support systems,” Broughton says.
His solution focuses on making entrepreneurship accessible to anyone with a viable idea, regardless of starting resources. This means cutting unnecessary red tape, enabling access to low-code commerce tools, and funding mentorship programmes that help new and smaller players compete on merit rather than capital.
Regional businesses face particular challenges, with higher costs and limited access to expertise creating additional hurdles beyond the major cities.
“When we make it easier to start and scale, we unlock not just individual ambition, but community-wide economic growth,” Broughton argues.
AI adoption lags
Most businesses avoiding technology
Australia is falling behind in technology adoption, with Shopify research showing nearly one in six businesses here don’t plan to use AI at all—almost three times the Asia-Pacific average. Even among those that do adopt AI, few use it for high-impact tasks like personalising customer experiences or enhancing product imagery.
“That’s not because our entrepreneurs lack imagination. It’s because they lack enablement,” Broughton explains.
He argues access to AI tools, cloud computing, and modern digital infrastructure should be as fundamental as access to electricity. Government investment in these foundations, combined with targeted skills programmes, would give every business the same shot at innovation—from solo operators to mid-market brands.
Australian businesses are increasingly focused on growth strategies, but without proper digital foundations, many struggle to implement them effectively.
Global competition requires tools
“If we want Australian brands to compete with the best in the world, we need to equip them with the same technology stack and capabilities their competitors enjoy,” Broughton says.
The investment in digital capability isn’t just about keeping up—it’s about giving Australian businesses the tools they need to innovate and compete internationally.
Opening trade barriers
Export complexity limits growth
For many Australian businesses, the domestic market is just the beginning, with real growth potential coming from selling globally. However, Broughton argues current systems make international expansion unnecessarily complex.
His recommendations include protecting de minimis thresholds, modernising customs processes, and aligning payments and trade standards with leading international markets. The goal is reducing the cost, time, and complexity of selling across borders so “a small business in Hobart can reach a customer in Hamburg as easily as a local one.”
These changes benefit more than exporters, according to Broughton. Increased competition drives innovation, improves customer choice, and raises productivity across the board.
Understanding global market entry remains crucial for Australian businesses looking to scale beyond domestic boundaries.
The opportunity ahead
Entrepreneurs ready to lead
Australian entrepreneurs are positioned to lead the country’s productivity revival, but Broughton argues they can’t do it alone. Removing barriers to entrepreneurship, investing in digital capability, and keeping trade open will create conditions for sustained, inclusive growth.
“At Shopify, we’ve seen what happens when businesses get the right tools, markets, and confidence to grow: they hire more people, bring new products to market faster, and expand their reach far beyond what they imagined possible,” he says.
Setting new standards
Broughton believes Australia’s productivity challenge represents both a crisis and an opportunity. By focusing on enabling entrepreneurs through his three-point framework, the country won’t just close the productivity gap.
“We’ll set a new standard for what a modern, dynamic economy can be,” he concludes.
The framework exists, the talent is available, and according to Broughton, Australian entrepreneurs are ready. What’s needed now is policy support that removes barriers rather than creating them.
Shaun Broughton is Managing Director APAC & Japan at Shopify, where he works with Australian businesses to overcome growth challenges and scale internationally.
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