Smart Economy
A smart economy means more efficiency, greater productivity and sustainable jobs (Batt O'Keeffe TD). Therefore, optimal management of resources and assets is essential.
Smart economy is heavily linked to smart people as it is the people themselves who have the greatest influence on the economy. A smart economy is about innovation and people being productive by working ‘smart’. Economists call this a ‘high productivity economy’. This is all about creating products and services in different ways at competitive prices, then selling them into new markets to create sustainable jobs. New and upcoming smart city technologies are changing urban commerce through various innovative services. These allow for customers to interact and engage in a better way. A smart economy is a network that connects the physical, technological, social and business infrastructure to overall better harness the capabilities of the city. It aims at attracting economic activity to the region and also encompasses the economic outcomes brought on by smart city initiatives. Its main objectives are:
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Intensive Growth : Job Creation
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Smart Growth : Promoting Innovation / Business Creation
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Sustainable Growth : Improved Productivity & Workforce Development
Innovation is one of the most important aspects of a smart economy. New ideas fuel economic activity by encouraging businesses and attracting workforces to the region, as well as attracting investments.
Cities have faced a lot of new challenges due to globalization. A smart economy ensures the city meets these challenges by increasing productivity and enhancing the economic outlook for the entire region. A smart economy is one in which people are willing to take calculated risks to innovate and start businesses and promote entrepreneurship. For this, ICT technologies such as broadband access are used to tie together all the traits for a smart economy. The model of a smart economy is based on the concepts of e-commerce/e-business, increase in employment and innovation and production of new products and services.
Here are some examples of a smart city platform opens up new ways to reach and engage with people:
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NFC or Near Field Communication is a technology that allows users to make payments through their smartphones quick and easily. This allows for increased efficiency. It is available in almost all upcoming smartphones.
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The Virtual Supermarket is a concept that uses QR Code technology to enable customers to purchase and get delivered goods and services by scanning the QR Code assigned to the product.
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Augmented Reality is a new and upcoming technology that adds graphics, sound, smell and haptic feedback to the real world. It is available in a lot of video games (such as Pokemon GO), but recently, it has also started being used for everyday tasks such as finding locations, using the internet, watching media, etc. Companies have experimented with Augmented Reality customer engagement and advertising. This brings out a completely new way of advertising, one that doesn’t need physical installments.
A smart economy is the stepping stone for success to all other aspects of a smart city.