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E-Development and Knowledge Economy: The Role of ICT and SME Incubation

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Cyber-Development, Cyber-Democracy and Cyber-Defense

Abstract

In classical economics, land, labor, and capital are the only factors of production. Knowledge, productivity, education, and intellectual capital are all regarded as exogenous factors, falling outside the system. The New Growth Theory recognizes two additional factors: technology, and the knowledge on which it is based. In today’s environment, technology and knowledge are not merely additional factors of production; they have become the key factors of production. Two thematic areas are central to the analysis here: using business incubators for new venture formation, and using information and communications technology (ICT) to support and promote small- and medium-sized enterprises (SMEs). Knowledge Economy demands knowledge. Entrepreneurs need the knowledge to build a reliable infrastructure using incubators for new venture formation. New technology businesses need to move through the growth process rapidly and get their products to market before they run out of resources. Businesses need to use technology clusters to stimulate sustained innovation and growth. Educators need the knowledge to educate in ICT and e-business, attaining digital literacy for all of society, and providing the knowledge to accelerate and embrace e-commerce. Policy makers need the knowledge to accelerate and embrace e-government, providing electronic access to public services, enacting a regulatory environment conducive to the advancement of Science and Technology, and committing public policy to stimulate and assure innovation.

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Notes

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Authors and Affiliations

  1. Department of Information Systems and Technology Management, School of Business, George Washington University, Suite 515C, Funger Hall, 2201G Street NW, Washington, DC, 20052, USA

    Elias G. Carayannis

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Correspondence to Elias G. Carayannis .

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Editors and Affiliations

  1. Department of Information Systems and Technology Management School of Business, George Washington University, Washington, District of Columbia, USA

    Elias G. Carayannis

  2. Faculty for Interdisciplinary Studies, Institute of Science Communication and Higher Education Research, University of Klagenfurt, Klagenfurt, Austria

    David F. J. Campbell

  3. Harriman Institute Columbia University & Strategy International, New York, New York, USA

    Marios Panagiotis Efthymiopoulos

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Carayannis, E.G. (2014). E-Development and Knowledge Economy: The Role of ICT and SME Incubation. In: Carayannis, E., Campbell, D., Efthymiopoulos, M. (eds) Cyber-Development, Cyber-Democracy and Cyber-Defense. Springer, New York, NY. https://doi.org/10.1007/978-1-4939-1028-1_2

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