ENT - Technology and Business Development [LESSON]
Technology and Business Development
In this lesson, we will learn about the implications of technology on business development and future growth.
Knowledge Point
Throughout this course, we have learned about how technology can aid in communication, can be used to protect information, help with time management, be used to solve problems, create and share information, and more! It probably is obvious then that technology can also be used to aid in business development and future growth. Therefore, it is vital that entrepreneurs understand and learn how to use new technologies to help increase efficiency and expand business operations.
The internet and technology have also created some businesses that otherwise would not have been possible. Many businesses today use the internet for carrying out business operations both inside and outside of the business. Most companies today are considered to be either internet enabled or internet enhanced. An internet enabled business uses the internet to improve business processes, but the business could also be conducted manually without the use of technology. To put it simply, a manual task like paperwork can be done both by hand (manually) and online. Therefore, this type of business can operate globally but doesn’t necessarily need a physical storefront to do so. On the other hand, an internet enhanced business only works through the Internet. Without computer access, the business would cease to exist. Walmart is an example of an internet enabled business whereas Amazon is an example of an internet enhanced business.
The level of Internet involvement a business has is dependent largely on two things: the type of product and service provided and how tech savvy the business owners are. Some businesses are anchored, meaning they provide a good or service that must be delivered in a physical place. A "virtual" haircut, for instance, would not be quite the same as a real one. So, while you would still need to visit a salon for a new hairdo, there are still ways a hairstylist or barber might use the Internet for business. They could certainly use it for advertising, and many currently use it for scheduling appointments. Such a business would be considered Internet enabled. For a business to be Internet enhanced, it can't be anchored (or rooted to a physical location), and business owners would need to be very tech savvy because all their business from advertising to sales and customer service will be done online.
Internet Enhanced or Enabled Business Sort | Practice Activities
Use the activity below to test your knowledge of internet-enhanced and internet-enabled business.
Reflection
The internet and technology have helped businesses grow and develop. Technology has even created some businesses that otherwise would not have been possible. Additionally, the internet and technology have helped some businesses to expand their customer reach by expanding to a global market.
Considering how technology has enhanced and changed business over the last twenty years, do you think businesses and companies will continue to be impacted by technology in the future? If you were to become an entrepreneur in the future, what types of technology advancements do you think might impact your business?
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