Impact of Technology on Business
Impact of Technology on Business: Globalization has been greatly aided by technological advancements. In reality, one of the key drivers propelling globalisation has been technical advancement. Technological advancements force businesses to go global by increasing economies of scale and the market size required to break even.
Technological improvements lower the cost of transportation and communication between countries, making global procurement of raw materials and other inputs easier. Patented technology promotes globalisation since the company that owns the patent may profit from overseas markets with little competition.
The global village has emerged as a result of information technology. The World Wide Web, for example, has lowered the boundaries of time and location in economic transactions. Buyers and sellers may now transact at any time and from any location on the planet. Investments are also affected by technological progress.
Previously, high-tech manufacturing was exclusive to wealthy nations with high pay. Now, technology may readily be transferred to underdeveloped nations, allowing high-tech industry to coexist with cheap salaries. Many advanced-country businesses are increasingly outsourcing labor-intensive services to emerging nations like India.
Globalization is now possible in practically every aspect because to technological advancements. If you’re interested in reading more about this, “Connectography: Mapping the Future of Global Civilization” is a wonderful book to start with.
Impact of Technology on Business
In today’s version of commercial globalisation, technology is the driving factor. The global economy has been transformed by technology, and it has become a vital competitive strategy. It has globalised the globe, causing all nations to adhere to higher ethical norms. This article aims to demonstrate how the global technology revolution is sweeping the globe, and how the shift from manual to electronic service delivery in both the public and commercial sectors is advancing the global business community.
In a more competitive world, globalisation has spawned new markets, and information technology is one of the technologies that has spawned these new markets. Technology has aided us in overcoming key barriers to globalisation and international commerce, such as trade barriers, a lack of a shared ethical standard, transportation costs, and information transmission delays, resulting in a shift in the market place. Technology has allowed software engineers to collaborate with firms all around the globe over the internet. The development of technology has aided greatly in the formation and expansion of the global market.
Multinational corporations (MNCs) are a key player in the globalisation process. As seen by various types of commerce expanded to other nations, markets have grown more global. MNCs headquartered in one nation often conduct innovation in the host country, and owing to technology advancements, MNC(s) have extended to other countries via various forms of FDI, easing the transfer of research and development.
The study discovered that, although technology has helped to globalise industry, economically developed nations have reaped the greatest benefits. While technology has opened up numerous possibilities for global task networks, it is critical to consider the system’s friction in order to comprehend its limits. There are several sources of friction that might bring the system to a halt. Companies and governments that wish to succeed in the globalisation age will try to minimise abuses while coping with friction.