New technologies and new business models are creating a digital economy. This condition has led to the creation of electronic commerce, app stores, online advertising, cloud computing, high-frequency trading, and participative networked platforms
It was mentioned by the director of Big Data and Business Laboratory of SBM ITB, Manahan Siallagan, at the ICMEM (International Conference on Management in Emerging Markets) 2022 event, Thursday (11/8/2022). He gave some examples: Airbnb, Grab, and Gojek. Airbnb, as considerably new business model, using unused personal space to accommodate travelers. The model is integrated with technology until it becomes what it is today.
“Grab, and Gojek uses the driver’s private motorbike to accommodate people who want to travel. The model is also integrated with technology,” said Manahan.
Manahan also explained the key features of the digital economy era. These include mobility, data reliability, network effects, multi-sided business models, monopolistic or oligopoly tendencies, and volatility.
Manahan said digital adaptation is spreading faster in businesses, people, and governments. The spread of ICT (Information and Communication Technology) in various sectors is also creating a digital economy. Massive investment in ICT creates significant and faster growth, more jobs, and better service.
