Government succumbs to change resistant forces
A mjaor threat to the digitial economy is the potential for Governments succombing to interest groups protecting old technologies.
Calls to ban or limit the influence of online retailers and share economy technoloigies such as Amazon, Uber and Airbnb.
Rather than embrace technology and innovate, exissiting business models seek Government regulation to limit or compensate firms for technological disruption.
Why the contribution is important
Traditional business models are going through increasing challengers from technological disruption. With the Apple iphone annd iTunes just over 10 years old, the digitial era has already seen the way we take photo's, listen to music and watch TV change considerably. Photo labs have already gone and the video & music stores wont be around much longer. I no longer need to buy photo albums and I dont need a shelving system to store my CD's.
Every car is now potentially a taxi and every house potentially a hotel. You no longer have to go into a TAB or Pub to place a bet.
Everyday you read how groups and business propriters of old technologies seek to protect their interest their interests by lobbing Government to ban or increase taxation on the disrupters. London banned Uber to protect the Taxi industry and likewise Western Australia is considering a Uber levy to compensate the taxi industry.
Government's need to ensure they do not reward industries that are reluctant to innovate by increasing barriers to entry or reducing incentive.
by bigbluebox on November 27, 2017 at 12:36PM