In recent decades there is a huge revolution in computing and communications, and all indications are that technological progress and utilization of information technology will continue at a rapid pace. Accompanying and supporting the dramatic increases in the power and utilization of new information technologies has been the declining cost of communications consequently of both technological improvements and increased competition. Based on Moore’s law the processing power of microchips is doubling every 18 months. These advances present many significant opportunities but also pose major challenges Kpop. Today, innovations in information technology are having wide-ranging effects across numerous domains of society, and policy makers are performing on issues involving economic productivity, intellectual property rights, privacy protection, and affordability of and use of information. Choices made now can have long-lasting consequences, and attention must certanly be paid with their social and economic impacts.
One of the very significant outcomes of the progress of information technology might be electronic commerce on the Internet, a brand new means of conducting business. Though just a few years of age, it could radically alter economic activities and the social environment. Already, it affects such large sectors as communications, finance and retail trade and might expand to areas such as for instance education and health services. It implies the seamless application of information and communication technology along the entire value chain of a small business that’s conducted electronically.
The impacts of information technology and electronic commerce on business models, commerce, market structure, workplace, labour market, education, private life and society as a whole.
1. Business Models, Commerce and Market Structure
One important manner in which information technology is affecting work is by reducing the significance of distance. In several industries, the geographic distribution of work is changing significantly. As an example, some software firms have discovered that they can overcome the tight local market for software engineers by sending projects to India or other nations where in fact the wages are much lower. Furthermore, such arrangements will take advantage of times differences in order that critical projects can be done nearly round the clock. Firms can outsource their manufacturing to other nations and count on telecommunications to keep marketing, R&D, and distribution teams in close experience of the manufacturing groups. Thus the technology can enable a smaller division of labour among countries, which often affects the relative demand for various skills in each nation. The technology enables various forms of work and employment to be decoupled from one another. Firms have greater freedom to locate their economic activities, creating greater competition among regions in infrastructure, labour, capital, and other resource markets. In addition it opens the entranceway for regulatory arbitrage: firms can increasingly determine which tax authority and other regulations apply.Read More