Technology and Economics – The Emerging Trends in 2013

Technology and Economics move in tandem. Technological advancement increases efficiency and productive capacity of the economy; which leads to long term economic growth and prosperity. Today’s competitive landscape of different technologies is under-pinned with intense rivalry, temporary disruption of existing technologies; followed by commoditization due to low cost barriers. Here are five recent examples of emerging technology trends:

1-Stock Markets of World have become extremely volatile because information is executed instantaneously without giving any reaction time for market players to perceive the depth of fundamentals. It takes much longer to analyze the fundamentals of stocks than absorption of instantaneous messages bombarded in fractions of seconds. Such plethora of messages, coupled with Media hype, has created marked volatility in the Capital Markets of the world.

2-Although Facebook and LinkedIn are not competitors in true sense, LinkedIn has done much better job in terms of cash generation; and consequently surge in its stock as compared to Facebook. The main driver behind cash generation is strategic positioning of LinkedIn in the talent acquisition industry, mainly in North America. This has enabled the company to double its stock in one year; whereas Facebook is still struggling to recover its stock lurking much below than its IPO point.