Digitalization implies using digital technologies to boost a company’s business functions, products and services. While there are many positive aspects to https://cloudycrowd.net/2022/05/11/how-data-rooms-changed-business-communications/ digitization, it also poses a number of concerns.
Advantages of digitization
Digitization can improve a company’s internal operations by eliminating manual tasks and reducing costs through automation. Additionally , it can help a business gain clients or expand its existing customer base.
Drawbacks of digitization
A key drawback to digitization is the fact that digital information may be easily changed and erased. This can result in errors and misunderstandings.
Additionally , a company could become overly reliant on technology. This can result in a lack of human abilities and slow down production.
The emergence belonging to the digital economic system has led to an elementary shift in the way businesses produce and market many and companies. In contrast to classic industries, which rely on high costs and labor resources for goods and providers, an electronic digital economy works with efficiency.
Hence, it is vital to have a crystal clear vision by what the digitalization of a firm will involve and apply it smartly.
The effects of digitalization on a firm’s value creation, proposition and capture had been investigated in two different industries, the media and automotive industry, applying qualitative empirical info collected by 12 key element informants. A conceptual establishing based on dynamic capacities was adopted to framework the empirical study (see Figure 1).