What Is the Relationship between ICT and Economic Development?

Information and Communication Technology (ICT) plays a role in the general development of modern nations. The relationship between ICT and economic development is the fact that ICT serves as a facilitator for economic development. That is to say that the opportunities offered by ICT can be utilized to help develop economies. The ongoing process of globalization makes it imperative for various countries to look for the avenues through which they can apply the dividends of globalization to the development of countries as whole and the economy by extension. ITC is important to counties since it helps with educating people and with marketing, researching and promoting of businesses.

Globalization has opened up new frontiers for socialization, trading, education and other forms of socio-economic relations. One of the major driving forces behind globalization, aside from ease of transportation, is ICT. The ability to communicate with other people in real time through tools like telephones and the Internet has effectively reduced the scope of the world to a more manageable dimension. This means that people do not have to fret about distances in their various interactions with people from other corners of the globe. The implication for this in relation to ICT and economic development is that people can exchange mutually beneficial information regarding the best processes and methods for economic development.

Education is one of the major prerequisites for the general development of any nation, which is why many countries invest heavily in the education of its citizens. This is one area in which ICT and economic development are interlinked, because the ability to communicate with people in other parts of the world gives students a broader view of educational concepts and helps them approach problem-solving in different manners. For instance, a student who is having problems with algebra may go to a social forum and ask questions regarding the problem, and receive answers that may make it easier to understand. Even business managers may encounter problems that could be solved through information on the Internet regarding the business principle in question. Interactive, step-by-step guides can also help people understand some difficult questions.

ICT and economic development are related in the sense that it helps in the marketing, research and promotion of businesses. The Internet has opened a whole new market for companies and organizations wishing to further increase their visibility and reach out to new markets in different countries. As such, a company in London may establish a Web site informing people about their products and also giving them a means for viewing pictures of the products. Interested customers in different parts of the globe may either contact the company directly to discuss any of the offered products or may simply place orders and have them delivered. All of these benefits of ICT help in the economic development of a nation.