Abstract
Pakistan’s GDP stands at 269.97 billion USD with major contribution of 52.7% by Service sector which is major contributor to its economic growth. Information & Communication Technology (ICT) among other service sectors has proved to be the fastest growing industries in past few decades globally by directly creating millions of jobs and by enabling innovation and development in other sectors with its integration. Pakistan among other developing countries in the region has witnessed reasonable growth due to ICT industry and it is continuously on the up side due to ease in the transfer of technology and knowledge that has maximized the benefits on these economies. As per industry sources around 1500 IT related companies are established
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However, we have also witnessed lowest growth in fixed-broadband internet penetration among other Asian countries which limits various businesses in Pakistan to compete in the global environment. E-commerce among other IT sectors is on the rise in Pakistan but e-governance is lagging and digitization of government documents may provide an opportunity for growth through improve public accountability and public participation. Among various strengths and opportunities within ICT industry in Pakistan there are some challenges which include rural-urban digital divide which further skews adaptability in different income classes, security situation which may affect spending in ICT among other businesses. This report will focus primarily on investigating ICT contribution to Pakistan’s economy; we would initially go through the introduction of the ICT industry and a global perspective to understand how ICT sector brought economic changes in developed and developing world and what policies have enhanced its benefits to those economies. Next we would be focussing ICT in Pakistani context and its development so far with various policies and initiative that have enhanced its impact and recommendations that might increase its impact in various economic …show more content…
When these mediums were in isolation to each other we have seen that information and knowledge were not available readily to everyone. With the advent of PC (Personal Computers) and later development of linkage between PCs through Internet had allowed us to enter into Third Industrial Revolution of technologies where we have seen complete shift of how people communicate, learn, do business, socialize from past. It is worth noting that previous Industrial Revolutions took decades and only involve Western Europe and its off-shoots to get the benefits, but ICT revolution is truly global.
Information and Communication Technology is playing special role in growth and development in current time as we observe it in our current economic environment than before. This is particularly due to continuing and rapid innovation in ICT sector which make it attractive sector for growth reasons like the development of automobile and other manufacturing industries after World War II. ICT is particularly attractive for economic growth of countries like Pakistan as it provides comparative advantage by bringing benefits and its characteristics to other sectors as
The information revolution is sweeping through our economy. No company can escape its effects. Dramatic reductions in the cost of obtaining, processing, and transmitting information are changing the way we do business. “To get ahead in today’s business world, a company must utilize the right resources. One of the most effective, of course, is information technology (IT), which has become an essential tool for businesses across many industries” (2013).
The line graph compares the ratio of people who utilize Internet in three different countries in the period from 1999 to 2009. A general picture is that the number of citizens using Internet in Canada and USA are much higher than another one in Mexico. To specify, in 1999, the proportions of population spending time on Internet in USA and Canada were about 20% and 10% respectively. Meanwhile, the figure in Mexico was lower, at about 5 %. In 2005, Internet usage in USA and Canada witnessed a dramatic rise to around 70% while the rate of Mexico was only approximately 25%.
Nowadays, the amount of consumers needing telephone service is decreasing and the need for broadband in increasing. Most Americans and people across the world would argue that telephone access is not as important as broadband access. Broadband internet is increasingly recognized as essential to economic growth (Intel). Many Americans and emerging countries struggle to find affordable ways to attain digital devices along with broadband connections. Instead of Universal Service Funds being used to acquire telephone equipment and services, some countries are using them towards supporting information and communications technology and broadband programs (Intel).
Industry analysis Porter’s 5 forces analysis Porter’s five forces analysis is used to investigate the strength of rivalry in an industry so that auxiliary business tactics can be deliberated. It makes use of industrial organization economics to understand the five forces to quantify the appeal of a business. In case all the forces drive down profitability, the approach is through “pure competition” meaning all the firms make normal profits. Three forces constitute the horizontal competition – the threat of new entrants, rivalry among existing firms, and the threat of substitutes.
The first strategic choice available is to become a new entrant in the Pakistani market which has a growing middle-class and a thriving economy growing at about 7% GDP per year. The second strategic choice available is whether the developing skill-set of the Pakistani people suits the kind of investment the ePlanet
Connectivity in developing countries enables people to participate in the digital economy thus stimulate the ecnomic impact and also enabling the transition to knowledge-based economies. The improvements in broadband infrastructure devices and general connectivity spillover to the other part of the economy and hence activating economic
Spread of innovation and technology; The most important factor for economic progress and human progress is technological innovation. Competition and progress are promoted or supported by investments in innovation and spending on research & development and innovation. This is how long-term economic growth is achieved. Their overall standard of living is enhanced through increased productivity and access to new, better goods and services. Sometimes it takes time for the benefits of innovation to become apparent (develop).
Here technology comes handy. It not only makes information more accessible but also eases the knowledge sharing and generation without regard to time and geographical boundaries Technology is not only transforming the way we live but also the way we behave, how we interpret ourselves as a person, friend, group member, employee and citizen. For example, people today are trying to find solutions to difficult questions in life through websites like qoura by answers from other people who come form variety of backgrounds from all over the world.
In E-Commerce and Operations Research in Airline Planning, Marketing, and Distribution by Barry C. Smith, Dirk P. Günther, B. Venkateshwara Rao and Richard M. Ratliff, the authors talk about how the airline industry pioneered the e-commerce principles in terms of travelling. What started as a platform for exchange of information amongst businesses turned into GDP building machinery. The airline industry has used several derivative models to understand the patterns in consumer travel behaviour. Around forty years ago, the Sabre online reservation system was developed by American Airlines to keep a track of travel ticket bookings, as the amount of reservations made in a day kept increasing. This system has now given rise to several sophisticated
Modern technology laid a foundation to most businesses across the globe since the beginning of the 21st century. Its impact covers most positive aspects observable in firms. The current development shows a great transition over the years considering the past phenomena of transactions involving the exchange of products. The modern means improve the interaction between clients and businesspersons, establish better communication within the business, and increase the production process. Contrary, other negative aspects like increasing unemployment levels in a country also emerge.
The coming in of new types of technology also results in a negative impact on the growth of the economy at times; television at times consumes all the productive hours that a man has in a day accordingly. Every new form of technology gets into the market together with long term consequences. Nevertheless, humanity is deeply affected by the technology nowadays. New media technologies such as, video games, computer
be able to turn the existing trade deficit in its favour. Through improvement in communications, Pakistan can thus effectively integrate its domestic market as well as explore landlocked neighbouring markets through exports. Completion of CPEC is likely to improve Pakistan’s economic, commercial, and geostrategic environment. As the proposed Chinese investment more than doubles all foreign direct investment in Pakistan since 2008, it will attract international investors in Pakistan. This will help to improve the perceived external image of the country, an image that is not always in line with current situations and tends to be more negative than merited by actual conditions and one that causes a psychological obstacle to the flows of foreign
Being a country that relies greatly on agriculture, Guatemala has embraced modern technology in an attempt to maximize the productivity of the lands. However, this may on the other hand affect employment adversely basically because mechanized farming requires little human resource; yet a majority of the people are employed in the agriculture sector. On to the internet technology, despite having a large number of people being illiterate, internet technology is substantively used (Hinkelman & Shippey, 2004). This is trying to end the problem of poorly developed data transmission
Digital Divide Research Essay Jaifar Ibrahim AL-Naamani What is Digital Divide “the Digital divide is a term that refers to the difference between demographics and regions that have access to modern technology, and those that do not or have restricted access. This technology can include the telephone, Ipads, television, personal computers and the Internet. ” What causes the Digital Divide? Differences in Techno Areas of society
At a click of a button one is able to know what is happening to different parts of the world. ICT has had mainly a positive effect on the way we communicate, as it has made it easier and cheaper. So many different ways of communicating without meeting face to face, a lot of people tend to just communicate over the internet or by texting as this is now easier than arranging to meet up. This assignment includes the various communication methods ICT has introduced to us.