“Technology’s impact on today’s world economy is limited by corporate monopolies, geopolitical influences, specific product orientation, system fragmentation, single source non-validated data and high implementation costs."
As the world faces chains of never-ending crises, the need for a global economic development solution continues to grow drastically. A global consensus has been reached through the 2015 B20/G20 process regarding the need for the Digital Economy to reenergize the world economy. A questions still lingers: What does the Digital Economy look like, where do we start and how can we realize its benefits?
Let’s pause for a moment before engaging in the Digital Economy debate and answering these questions. All agree that the ultimate goal is to foster a prosperous global economy. To do so, economic leaders recognize that the engine needed to spur global economic growth is world trade. Read more
Trade is founded on four primary pillars of trade: commerce, finance, insurance and logistics. Each industry employs various forms of advanced technology, but together they are not achieving the required level of efficiency. The weakest link among the four industries is logistics. Yet logistics is also the linchpin that connects our world.
Therefore, by maximizing the efficiency of global logistics, we will create the platform needed to enhance digital commerce, digital finance and digital insurance providing the tools and the road map to create tens of millions of jobs, hundreds of billions of dollars of new trade, and hundreds of billions of dollars in reduced trade cost. This is what the world expects from the real engine of the global economy.
The Digital Economy does exist but it is fragmented and thus fails to achieve its enormous potential. Now, in the wake of current global economic challenges, we must merge and empower the four industries to unleash their full potential and thereby promote tangible, sustained global economic growth.
In addition, technology’s impact on today’s world economy is limited by corporate monopolies, geopolitical influences, specific product orientation, system fragmentation, single source non-validated data and high implementation costs. We must remember that the main objective is not the implementation of the Digital Economy in itself, but to utilize a new era of IT to achieve a new era of prosperity for all.
Therefore, a major mindset adjustment is required with regards to how the Digital Economy is defined, including its governance, ownership, deployment and business model, since it impacts the lives of 7 billion people around the world.