The Need for a new Strategy for the Digital Economy of Australia

Discuss about the Future tendencies of the Digital Economy.

Digital Economy mainly refers to the economy which is mainly based upon the digital computing technologies. Digital economy is also referred to as the “Internet Economy”, “the New Economy” or the “Web Economy”. The definition is made much harder when the term “digital economy” is intertwined with the traditional form of economy (Tapscott, 2014). It can also be described as the range of economic and the social activities which are enabled by the technologies related to communication and information. Some of the major things included in the digital economy are banking, buying and selling, accessing the entertainment or education and many more. The contents of the paper named “The digital economy: Opening up the conversation – the Australian Government” have been analyzed in this report. The report also discusses about the various things that are related to the digital economy of Australia. The Australian Government is thinking of developing a new strategy for the “Digital Economy” which will be a forward looking plan for the maximization of the potentials of the digital technology. Along with this it will also be helping in the improvement of the nations productivity. Besides this the strategy will be helping a lot in the improvement of the competitiveness which is mainly associated with the minimization of the negative effects. The main focus of the strategy will be on the various ways in which the Government, businesses and the communities are capable of adjusting so as to seize the various benefits of the digital transformation (Frey & Osborne, 2015). The strategy would also include the new the emerging technologies which are associated with the digital infrastructure and will be helping in the growth of the Australian industries and jobs.

Analysis of the Paper:

The success of Australia is greatly dependent upon the “Digital Economy” along with the technologies that underpin it. Many new opportunities are created for the communities as well as for the business. Along with this it also drives the competitiveness, productivity and the connectivity of strengths across the whole country (Weber & Burri, 2012). Digital business will be allowing the business to work in a smarter way along with the saving of time as well as accessing the new markets, customers and information (Whittle et al., 2012). The business which are digitally advanced are more innovative along with more likely to be growing revenues along with creation of new jobs.

The Success of the Digital Economy in Australia

As the technology and science are developing at a rapid rate making them capable of changing the ways of life along with the work and the ways in which a business is done. There are various challenges which rises due to this changes. Along with this many opportunities are presented so as to increase the wellbeing of the peoples of Australia along with securing their jobs. There is an immense potential by the Digital technologies to drive the competitions along with the innovations and the productivity (Ng, 2014). The evidences show that the investment of the business in the digital technology ultimately results in the high production.

Main aim of this paper:

This paper mainly indicates the starting of the conversation amongst all the Australians about gathering of their ideas so as to help in developing new strategies. Once the responses are gathered, the Government of Australia will then be able to identify all the keys issues along with the key challenges and the opportunities (Tapscott, 2014). Followed by the identification process will be the development process.

Three broad themes are considered in this paper for the purpose of broader digital economy and they are listed below:

• Enabling followed by the starting so as to support the digital economy.
• Building of the competitive strength so as to drive the productivity along with the rising of the capabilities related to digital business.
• Providing empowerment to all the Australians by means of digital skills and inclusions.

Analysis of the strategy:

The announcement of the Australian Government on 19^th September in the year of 2017 stated that they will be working for the development of National Digital Economic Strategy. This strategy would be developing a roadmap for the Government of Australia (McWilliams, 2015). This strategy will also be working as a roadmap for the private sectors as well as the community so as work for different purposes and this includes the following;

• Building up of the competitive strength along with the development of new strategies like the
• Driving of the productivity that are existing within the industries right now.
• Taking advantages from the various type of changes that are taking place right now in the economy.
• New sources of growth are to be opened so as to make Australia sustainable in the future
• Development of the capabilities of the world leading digital business so as to engage in the high growth of the business of different sizes.
• Driving of the culture as well as the mind-set so as to support the life-long learning along with a global outlook which in will be helping in positive response to the changes.
• Addressing the people of Australia about the digital divide skills and the conditions so as to help them succeed in the digital economy.

They government of Australia also stated that they will be launching all these strategies by the starting of 2018. This will be done after following an open conversation with the Government along with various businesses and communities.

The Government of Australia have been supporting various actions on a diverse range of digital economy. This initiative has been taken by various agencies (Yip et al., 2012). The main purpose of this strategy includes the drawing together along with complement and building of the initiatives that are already existing.

According to the Government of Australia when this strategy will be implemented in the year of 2018 then it will be capable of creating a scenario. This scenario would be continuation of the discussion and debate with the Australian public on the digital future. They should also make sure that they are up to date. By staying updated the strategy will be continuing to evolve in future as well.

Challenges and Opportunities of Digital Transformation in Australia

Analysis of the readiness of Australia:

The paper helps to understand that Australia is having a mixed performance in the digital economy. Australia has been ranked 18^th in the World Economic Forum’s Readiness Index after slipping two places from the previous years. This Index mainly measures the capacity that a country is having for leveraging the Information and Communications Technology so as to make improvements in the competitiveness along with the wellbeing (Huws, 2014). A recent report of McKinsey stated that there in an uneven rate of digitalisation in the industries of Australia which means that it is far away from its full potential. There is a low level of digitalisation in the construction and agriculture field whereas the financial and professional services are leading in digitalisation. By 2025 the contribution of digital technologies will be around $140billion to $250 billion in the GDP of Australia.

Analysis of digital trade in Australia:

Certain rules are being pursued by Australia for the purpose of creating a consistent environment which will be predictable as well as stable for the business. by the Australia’s Aid for the investments in trade, the Australian government will be greatly helping in the building up of the capabilities of partners of the developing country so as to implement the regulations and the standards which will be facilitating the global trade. By these type of investment, the developing countries will be encouraged so as to uptake the technologies which will be making the trade much more efficient (Dijk et al., 2013). There are notable technologies and expertise in the Australian firms in this field.

Analysis of the improvement of digital literacy:

Australian Government is trying very hard for the improvement of digital literacy. Various initiatives are contained in the National Innovation and Science Agenda so as to equip all the Young Australians for the purpose of creating and using the new digital technologies along with inspiring of STEM literacy at the early stage of education (Weill & Woerner, 2013). Expansion of opportunities for the women are being included in the stem for which there has been an investment of about $13 million in five years. This is to encourage more women’s so as to choose STEM along with staying in STEM research which is related to their career, start-ups and entrepreneurial firms.

Conclusion:

Australia is having much more strength in some significant areas. There is a need of developing strategies that will be greatly helping out the country of Australia in fulfilling the various potentials. To work and function in the best way there is an essential need of robust communication. Along with many opportunities caused due to the changes in the technology there is also a wider implication of the technology in a cultural way. It has also been recognised that the technology and humanity are responsible for shaping each other. This helps in understanding the fact that a deeper understanding needs to be developed for the purpose of understanding how the cultural and the ethical values are retained. This is included as one of the important factor. The dependency of the people on internet is growing more and more for the purpose of conducting the activities on a daily basis.

References:

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