The world is shrinking (not in a literal sense, of course)! The advanced technology has made it easy to connect to people across the globe. In this age, you are a click away from making a business deal with someone. From online shopping to taking online classes, telecommunication has been nothing less than a blessing. There is a big impact of telecommunication on economic growth.
The developing countries are still unlocking the many ways by which they can benefit from telecommunication. However, they have improved a lot. Companies like Spectrum that offer services like Spectrum Phone that make the world a global village.
Impact of Telecommunication on Economic Growth
In the past, a ‘global village’ was just a term. But now it is a reality. There are many ways by which telecommunication helps improve the economy.
Better Access to Global Labor Market
According to researches, telecommunication has helped to create around ten million jobs in the States. And this was possible because of the Internet alone. Because the Internet helps you to connect to anyone while you sit your home. Some of the jobs that the Internet has helped to create in the past couple of years are:
- Content writing
- Web designing
- Graphic designing
One does not have to be present in the office for these jobs. You can always write an article and submit it online. This is especially helpful for people who cannot leave their homes. In this way, they do not sit at home idle.
They are now playing an important part. And are no longer excluded from the workforce. They are actually contributing towards the GDP growth of their country.
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The advancement in telecommunication helps people in creating online stores. This means that business now has access to a wider market. A person sitting in America can sell his products in the UK, China or Japan. This helps the economic growth in the long run as foreign currency flows into the country.
Also, this helps in the GDP growth of the country. Websites like Amazon have made it easy to sell or buy products from around the globe. This has given many people the opportunity to start online businesses as well. Hence, benefitting the economy.
Another impact of telecommunication on economic growth is that it has helped by creating jobs for people living abroad. For example, many IT companies in America hire people to work for their call centers from developing countries.
This is a win-win situation for both. The companies in States hire labor that would have cost them a lot otherwise. As for the people living in developing countries, it helps to create jobs for them. People in developing countries struggle to make ends meet. Such opportunities provide a way for them to make good bucks for themselves. In addition, they contribute to economic growth.
Increased Workforce Productivity
The telecommunication industry has advanced a lot. At first, the companies relied on dial-up Internet connections. With passing time came faster and more advanced technologies like 3G, 4G and now 5G. While the effect of this might not be obvious, it has increased workforce productivity.
Faster Internet connections mean faster speed at which the employees work. Internet speed does not irritate them anymore. And poor connectivity with clients does not pose a problem as well. Greater productivity translates into more work done by the employees. As a result, the revenues of the companies and businesses increase. Thus, improving the economy.
Discussing further the impact of telecommunication on economic growth there are many ways in which the Internet has been beneficial to economies and enabling people to carry out cheap transactions. This holds true for companies offering financial and medical services.
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They can save the high amounts of costs by handling their data and information using web-based services. These services are less expensive than hiring labor. Moreover, routine transactions have become cheaper with the introduction of technologies like E-mail.
It is true that time is money. And progress in technology helps you make money from saved time. Business deals these days close within weeks, if not days. This is the result of connecting through Skype or e-mails. If the world was not introduced to these inventions, businesses would still be relying on postal mails. Businesses are carried out with ease these days. This makes it possible for companies to tap more markets.
However, it is important that you have access to the best services in your area. Many companies provide users with an option to search for the availability of service in their area.
Apart from this, you would always need access to a smartphone or a laptop. If you are equipped with a fast-speed Internet and a smart-phone, you can carry out business from anywhere. This is the power of technology. This is what telecommunication can do. And if you think you still lack what it needs to make good use of telecommunication, you can resort to the best online learning platform.