The Digital Economy - What Is It?
This post was originally published on Aug 11, 2013 as an IBOToolbox PR: http://www.ibosocial.com/onbizmind/pressrelease.aspx?prid=291522
You’ve probably been hearing the term “digital economy” more and more often. And you can expect to hear it even more frequently for the foreseeable future. Perhaps you’re just a bit unclear what the term means and how the new digital economy is going to continue to affect your life. So...
“what is the digital economy?”
Also called the “internet economy”, the digital economy is based on virtual, instant and global communications. This internet-enabled network allows people and organizations to interact, search for and receive information, and pay for products and services over the web - anytime, anywhere.
The Australian Government’s Department of Broadband, Communications and the Digital Economy, describes it well:
“The digital economy is the global network of economic and social activities that are enabled by information and communications technologies, such as the internet, mobile and sensor networks. The digital economy comprises the computers, phones, game consoles and devices most of us use each day. It is the ability to start up a web browser and search for a local restaurant, to send a text message to your friend or to use a navigational device in your car. The digital economy includes paying for goods with your debit or credit card at the store, or when your doctor receives your pathology results electronically.”
How Big Is The Digital Economy?
The digital economy has been growing dramatically since the 1990s and is estimated to reach a phenomenal $20 trillion worldwide in 2013 with no end of growth in sight!
According to Wikipedia, the digital economy is expected to have such a huge impact on the entire economy that forward thinking traditional businesses are developing strategies to respond to and remain competitive in the new economy. This includes the new digital tools and apps your bank has introduced so you can bank online, for example. Or the interactive room viewing apps and booking forms most hotels now use.
Further, the digital economy is the only sector that is seeing growth since the huge downturn in the traditional economy that occurred as a result of the “Great Recession” of 2007-08. This global financial crisis has had wide reaching impact including huge unemployment, unprecedented housing foreclosures, and numerous bankruptcies of long standing household names such as Woolworths, Crabtree & Evelyn, Circuit City and many more. The companies poised and able to implement digital strategies to continue to serve their customers are the ones still standing.
Seeing the writing on the wall, governments worldwide are investing in infrastructure to support the explosive digital economy by enhancing telecommunications services and consumer choice. You know a trend is here to stay when usually slow-to-change government policy makers are getting on the bandwagon!
Why Should You Care?
The digital economy offers a never before possible opportunity for ordinary hard working people who are willing to learn some basic internet skills, to build an online business and become financially self-sufficient - even in the current downturn in the conventional economy. For so many who have been left unemployed or without their retirement savings because of the global financial crisis, this is indeed a ray of hope.
Wealthy Affiliate teaches the skills and mindset needed to succeed in this fast growing digital economy.
Watch for a discussion of the difference between digital experts and online business opportunity seekers in an upcoming post.
To your success,
Pat & Graham
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