On the upside or flipside: Where is venture capital positioned in the era of digital disruptions?

Recent studies have found that disruptive technologies, such as FinTech, have the potential to overturn existing business models and overthrow incumbents. These studies have demonstrated that newly emerging digital platforms financing early-stage ventures threaten traditional venture capital (VC). We argue that, conversely, VC benefits from advances in information and communication technology (ICT), as ICT fosters entrepreneurship and mitigates agency issues in VC deals. This paper examines the impact of digitization on VC investments from 23 European countries spanning 2007–2019 using a dynamic panel two-step system generalized method of moments (GMM) estimation technique. The results show that the factors “ICT penetration” (a general measure of societal internet and computer access and use) and “digital economy” (a measure of ICT-powered economic activity) exert significant and positive effects on early-stage, later-stage, and total VC investments. Moreover, availability of bank credit moderates the effect of digital economy on VC investment. Finally, this study reveals that it is digital entrepreneurship (as reflected in our “digital economy” measure), and not total entrepreneurial activity, that attracts VC investment. We conclude that the VC industry is aligned with rather than threatened by the newly emerging digital environment. The empirical results are robust to different control variables and data sources. This paper offers useful implications for policy and contributes to the literature on digital entrepreneurship and venture capital.     

Civic Events in a Dynamic Local Field. The Role of Participation for Social Innovation

Despite the spread of a variety of small-scale civic events, little is known about their potential for promoting innovation and field-wide implications. This paper addresses these points drawing on a study of 52 civic events in Milan between 2006 and 2010, which were set up by 10 nonprofit organizations within a shared local field. In order to assess if and how the observed events relate to a number of transformations that the local field underwent during the research period, an analytical typology of events' development is proposed. The results suggest that patterns of events' development are not neutral with respect to the production of field-relevant implications and that the triggering of social innovation processes by events requires pro-active public participation in their development processes.     

Broadband in India: Strategic investment opportunities

India is one of the top five mobile communications markets in the world. A wave of structural reforms in the Indian telecommunications industry during the past decade has fueled this growth. Following the introduction of competition, removal of entry barriers, and increasing foreign direct investment, the mobile sector has enjoyed unparalleled success. In contrast, broadband Internet services have not witnessed similar development, and the spread of broadband services in India is slow compared to some of the developing nations in the same region. This paper outlines the success factors (social, economic, and technological) that have contributed to the growth of the mobile communications industry. Based on its success, this paper proposes strategic investment opportunities for service providers, governments, and corporate organizations in the field of broadband services. It also touches on major areas that are outside the telecom arena but contribute to its success.     

Environmentally friendly pathways for the evaluation of investment projects using life cycle assessment (LCA) and life cycle cost analysis (LCCA)

Issues related to improvement in the quality of products and to environmental protection in the economic policy of many countries and in the strategies of institutions and international organisations (e.g. European Union) have increased in importance in recent years as a consequence of the increase in environmental awareness of consumers. All these institutions currently recommend a comprehensive assessment of the effectiveness of planned projects during the decision-making process taking into account both economic and environmental factors. It is, therefore, important to develop methods and tools to assess environmental performance as a support to a proper choice of investment activities. The aim of this paper is to develop algorithms to link the life cycle assessment (LCA) model associated with environmental issues and the life cycle cost analysis (LCCA) model associated with economic factors to permit an integrated assessment of investment projects. The combination of LCA and LCCA results enables the assessment of ongoing or planned investments and should be used as a priority in making strategic decisions. In this paper, three environmentally friendly pathways (algorithms) using LCA–LCCA indicators as a support for decision-making processes were proposed: the first for implementing any environmental investments, the second for modernisation and innovation investments, and the third for new investments.     

Does smart city implementation improve the subjective quality of life? Evidence from China

Understanding how smart city implementation influences quality of life (QOL) is of major importance to the goal of improving the citizens’ QOL within a smart city. This study adopted the generalized ordered logit model to explore the impact of core smart city investments—Information and Communication Technologies (ICT) and human capital—on subjective QOL using cross-sectional data from the 2018 China Family Panel Studies. Subjective QOL was measured by three indicators: life satisfaction, frequency of happy emotions, and frequency of depressed emotions. Results show that ICT is negatively associated with life satisfaction and the frequency of happy (positive) emotions, but not associated with depressed (negative) emotions. Human capital, by contrast, has a positive impact on life satisfaction and the frequency of happy emotions but has a negative impact on the frequency of depressed emotions. Further, ICT and human capital can affect subjective QOL through perceived government corruption and government performance. In addition, the impact of smart city investments on subjective QOL varies greatly according to age and education level. Policy implications are proposed to improve subjective QOL by making full use of smart investments.     

ICT for development in Tunisia: “Going the last mile”

This paper seeks to provide an overview of achievements and caveats related to ICT strategies for development in Tunisia. We go beyond a conventional approach of digital divide by considering exclusion from or inequalities in access to high-speed wired broadband infrastructure as a significant explanative variable in this area. Accordingly, we link the roles of ICT as enablers of new opportunities for socio-economic growth to the development of the last mile of the wired broadband infrastructure. Our analysis of the Tunisian ICT environment shows a prevalence of mobile technologies for Internet access and telephony as well as regional and social disparities in availability, access to and use of wired broadband technologies and services. Despite the real interest of Tunisian society and economy in using Internet, the range of broadband enabled-services and applications is rather limited. Additionally, the Tunisian case provides a promising perspective as there is a relatively well developed fibre backbone and potentially good opportunity for developing the last mile of wired infrastructure. We therefore suggest that it is necessary to develop a governmental policy in collaboration with the private sector to further develop the last mile section as well as to overcome weaknesses in the current regulatory frameworks.     

Evaluation of information and communication technology development in G7 countries: An integrated MCDM approach

Information and communication technology (ICT) contributes highly to various sectors of modern societies. Due to rapid growth of ICT and its spread into different sectors, ICT now has noticeable impacts on economic and social growth. Considering both positive and negative impacts, governments are continuously working on proposing better policies and recommendations to improve their ICT infrastructures. However, proposing better policies is highly depended on understanding past and current policies to have a complete overview of the situation. In this regard, evaluation of countries’ performance in terms of ICT development is of great significance. This paper attempts to evaluate the ICT development based on social and economic indicators using an integrated MCDM approach. To provide a real-life benchmark, G7 countries as major developed countries are investigated using real data from OECD datasets. For this purpose, six major indicators as ICT employment, ICT goods exports, ICT investment, ICT value-added, and internet access are considered to comparatively evaluate performance of G7 countries. Results indicate that United States of America along with Japan as top countries based on their ICT development while countries such as Italy and Canada are found to have the weakest performance which should upgrade their ICT policies to maximize their performance.     

The global science base of information and communication technologiges: Bibliometric analysis of ICT research papers

The science and engineering base is a key source of knowledge for the development and use of Information and Communication Technologies (ICTs). In order to be able to effectively describe and monitor world-wide scientific activity related to ICTs, it is important to be able to provide reliable macro-level statistics of this knowledge base. International bibliographic databases and related bibliometric indicators together provide an analytical framework and appropriate measures to cover both the ‘supply side’—research capabilities and outputs—and ‘demand side’—collaboration, diffusion and citation impact—related to the ICT research. This paper presents results of such a bibliometric study describing macro-level features of this ICT knowledge base. The data were retrieved from a specially developedCWTS ICT Database which provides a broad-scope world-wide coverage of ICT-relevant research papers published in high-quality international scientific and technical journals. The cross-country comparison focuses on the level of scientific output and co-operation patterns of the most actively publishing nations with a focus on the three Triad zones—the European Union, the USA and Japan.     

Telecommunication liberalization and economic development in European countries in transition

Developed and widely available telecommunications services are regarded as key enablers of a new economy. In Eastern European countries in transition, investment in telecommunications is generally perceived as a stimulus for economic growth. We investigate empirical correlation and Granger causality between certain indicators of telecommunications activity and economic growth. The indicators include total investment in the telecommunications sector and other parameters such as the penetration rate of services. We also propose additional indicators that may describe telecommunications sector development better than traditional, fixed, telephony-based measures. This is due to the migration of users from fixed to mobile networks, and from basic to broadband Internet access in the last few years. In the near future one also can expect broadband Internet users to move to mobile network infrastructure.     

Digital inequality in Austria: Empirical evidence from the survey of the OECD “Programme for the International Assessment of Adult Competencies”

Digitisation and rapidly emerging new technologies are transforming many aspects of life such as education, work, and leisure. These changes lead to a growing demand for new skills related to ICT use, computer literacy, internet use, or technical digital skills. However, the extensive literature on digital inequality provides evidence for significant differences in computer skills along the usual dimensions of social inequality. Due to the omnipresence of digital technologies in everyday life, it is all the more important to know the extent of digital inequality to be able to take appropriate measures to ensure that social participation does not degenerate into a question of social stratification in the Digital Age. In this paper, we provide empirical evidence for socio-economic digital inequality in Austria using survey data from the “Programme for the International Assessment of Adult Competencies” (PIAAC) conducted in 2011/2012.¹ We show, for Austria, that higher socio-economic background is positively related to digital problem-solving while being female is negatively correlated. However, when controlling for ICT engagement in everyday life, the positive effect of the socio-economic background only remains significant for groups of people with a very high socio-economic background while the effect of gender becomes statistically insignificant. Furthermore, based on Eurostat data we cannot identify a uniform trend towards a decline of digital inequality since 2012. Our results indicate that disadvantaged population groups in Austria should be encouraged and enabled to integrate ICT usage in their everyday life to reduce digital inequality.     

A new model for public-private partnerships

In the United States, federal technology transfer programs, public-private initiatives, national centers for technology and manufacturing, research and development consortia, and university outreach centers have all been developed as public-investment-based solutions to enhancing economic competitiveness. Each of these activities has problems and shortcomings associated with it. In lieu of these traditional programs, an expanded, integrated, and self-sufficient model for public-private partnerships is proposed through which 503(c) nonprofit organizations can manage and operate technology extension programs for the state or federal government. This approach addresses small, medium, and large business in an integrated fashion in terms of nine sectors of economic competitiveness. Methods for acquiring and utilizing technology and accessing government markets are proposed. A unique method for obtaining self-sufficiency and growth is developed. The presented model leverages federal investments into an independent and self-sufficient, privately-funded partnership. This type of entrepreneurial approach to public-private initiatives has been conspicuously absent from the majority of existing federal and state funded technology programs. It is expected that this model will lead to a higher rate of return on public investment.     

Innovation and Social Capital: A Cross-Country Investigation

This study explores the impact of social capital on innovation by constructing a more general measure of social capital, which consists of generalized and institutional trust, associational activities and civic norms. We test the hypothesis that social capital has a positive impact on innovation at the national level. After controlling for research and development expenditure and human capital, we find that there is a positive relationship between social capital and innovation. Social capital interacts with entrepreneurship; the strongest relationship is between associated activities and entrepreneurship. This study supports the need to build strong social relationships in today's networked economy.     

Technological Diversification Through Corporate Venture Capital Investments: Creating Various Options to Strengthen Dynamic Capabilities

Corporate venture capital (CVC) investment in technology-intensive entrepreneurial ventures has attracted increasing attention from established firms which recognize it as a useful learning investment strategy to create diversified technological options for future change. However, there is a lack of empirical research which examines the relationship between CVC investment and the corporate investors' technological diversification. In this study, we investigate the effects of CVC investments on corporate investors' technological diversity by using 20 years of panel data from corporate investors in five high-tech industries. As a result, we find that the total amount of CVC investments and the industrial diversity of portfolio companies exhibit curvilinear (inverted U-shape) relationships with the corporate investors' technological diversity. Moreover, the empirical results show that the absorptive capacity of corporate investors positively moderates the effects of CVC investments on the technological diversity.     

Analyzing the follower–followee ratio to determine user characteristics and institutional participation differences among research universities on ResearchGate

This study aims to examine how the follower–followee ratio determines user characteristics on the academic social networking site ResearchGate (RG) and to examine institutional participation differences among research universities. It uses the follower–followee ratio as the categorization measure for grouping 87,083 RG users from 61 U.S. universities, in three research activity levels as determined by The Carnegie Classification of Institutions of Higher Education (2016). As a result of analysis, individuals in the sample were further differentiated into three categories or user groups based on the follower–followee ratio: Information Source users (37.98%), Friend users (54.21%), and Information Seeker users (7.81%). These three user categories differ in overall scholarly reputation, popularity, and academic influence with a decrease from Information Source users to Information Seeker users. This study also reveals the current status of institutional participation in terms of activity level, and differences in user composition at three research activity levels. While the proportion of the Information Seeker users remains roughly the same across research activity levels, as the scholarly reputation of a university increases, there is an increase in the proportion of Friend users. The results help promote a deeper understanding of the follower–followee relationship among users on an academic social networking site, as well as the institutional user participation status. Future research should consider an international comparison between nations and disciplines. Application of this approach to other academic social networking sites would enhance general understanding of academic social networking sites and their users.     

Efficacy of environmental and supplier relationship investments—moderating effects of external environment

Supply chains competing today seemingly have to be able to cut costs in the face of global competition while simultaneously keeping up with rapid technological change. External stakeholders have much higher expectations in terms of environmental and social performance than they did in the past. This research is an initial step in directing operational investments in this new, complicated marketplace. Specifically we examine the efficacy of investing in buyer supplier relationships and environmental management while controlling for the competitive environment. A significant contribution of this research is that operational performance is not treated as a uni-dimensional construct. The end result is a more complete understanding of the specific performance benefits of each type of investment.     

Engineering trick or treat? the impact of large-scale dams ondeveloping countries

The factors driving large-scale engineering projects (LSEPs) in developing countries, and their effects on local environments and communities, are no better exemplified than in the case of large-scale dam projects (LSDPs). This paper demonstrates that LSEPs/LSDPs cannot be `tagged on' to developing nations in order to trigger or promote technological, economic or welfare development. In fact, they may ramify destructively into existing social, environmental and engineering infrastructures. Engineers involved in LSEPs will be better placed they develop multidisciplinary skills and a keen awareness of the complex web of socio-ecological interactions into which their projects are typically launched     

New paradigm of ICT productivity – Increasing role of un-captured GDP and growing anger of consumers

The dramatic advancement of the Internet has led all nations to an information communication technology (ICT) driven development trajectory. This trajectory has resulted in bi-polarization between ICT growing economies and ICT advanced economies. While the former enjoys a virtuous cycle between ICT advancement and productivity increase, the later has fallen into a trap of a vicious cycle between ICT advancement and productivity decrease.This paper identifies that this trap can be attributed to the two-faced nature of ICT in which advancement of ICT contributes to price increases due to functionality development while dramatic advancement of the Internet has resulted in price decreases due to freebies, easy copying and standardization.Based on an empirical analysis of a customer preference shift from economic functionality to supra-functionality beyond economic value, this paper unveils the increasing conflict between captured GDP and un-captured GDP derived from the Internet advancement which promotes a freer culture, the consumption of which provides utility and happiness but cannot be captured through GDP data that measures revenue.It was demonstrated that this conflict has led to an emerging growing anger of consumers which can be transformed into a springboard for new innovation leading to a trigger of innovation-consumption co-emergence.     

Keeping up with the pace of digitization: The case of the Australian construction industry

The most significant current technological trend is digitization, the impacts of which will be faced by all levels of society. This paper addresses how the Australian construction industry has kept up with the pace of digitization compared with other industries in Australia. The data is drawn mainly from the national accounts hosted by the Australian Bureau of Statistics, within the time period of 1995–2015. Construction has developed into one of the most important industries in Australia. Together with mining and the financial and insurance sector, it has contributed to a significant gross added value (GVA) in the economy. The construction industry has invested around 1% or less in information and communication technologies (ICT) as their share of GVA; however, it has invested about 15% in ICT of their total investments (gross fixed capital formation). Among the selected industries, construction's labour productivity measured by GVA per hour was the third highest, despite low level of investments in digitization. The observed correlation between ICT investments and productivity is weak when using industry level data from the national accounts. Any big leap towards digitization is not recognised for the construction industry; rather there appears to be steady acceptance of the technology.     

Impact of ICT development on economic growth. A study of OECD European union countries

Most of the scientific literature recognizes a positive impact of Information and Communication Technologies (ICT) on economic growth. In contrast, different investigations suggest that this impact is limited or even null, that is, there are mixed results.In view of this problem, we conducted a study whose objective is to analyse the impact of ICT on economic growth.To address the study, we apply Partial Least Squares (PLS), using the databases of Digital Economy and Society Index (DESI) and the Organisation for Economic Co-operation and Development (OECD), which allowed us to analyse those European Economic Community countries, members of the OECD, in order to reduce the differences in economic development between the countries analysed. As far as we know, this is the only work that studies the relationship between ICT and economic growth by measuring ICT with the Digital Economy and Society Index database (DESI), in European Union countries that belong to the OECD and that apply the PLS-SEM technique.Based on the empirical results, the paper suggests that progress in the deployment and use of ICT drives the economic growth of countries that are within the framework of developed European economies.     

Social inequalities,fundamental inequities,and recurring of the digital divide: Insights from India

The paper uses a large scale national quantitate dataset to provide a fresh perspective on linkages between the digital divide and social inequalities in India. Commencing from two classical social theoretical perspectives – the Marxian conflict perspective and the Weberian cultural perspective – as starting points, we employed MANCOVA analysis on data of more than forty thousand households. The Marxian perspective reveals how information and communication technologies (ICT) assets come to be owned, and how they are used with the help of specific digital skills by the working class to influence labour markets and intergenerationally transfer class advantage. The Weberian perspective focuses on how ownership and use of ICT assets define an elite lifestyle which excludes others. The analysis is deepened by employing network effects approach. Results from data analysis indicate that the less educated, lower-income group, and lower caste strata are further marginalised as they neither have ICT assets nor the skills to use them. Households whose primary source of income is organised business own and use their ICT assets more than those that depend on agricultural or non-agricultural wage labour. Also, the highest adult education in a household, caste, and the primary source of income of the household differentiate ICT ownership and use. Overall, ICT ownership and usage are significantly different for different socio-economic groups in India. This linkage demonstrates how inequalities are aggravated in the manner of a Matthew Effect. The paper suggests that ICTs may end up amplifying the social inequalities in India.