What is digital economy? Characteristics and solutions for developing the digital economy

Currently, the digital economy contributes a lot to the development of a country, including Vietnam. The digital economy helps open up many opportunities for businesses to access and harmonize with the development trends of countries around the world. So what exactly is the digital economy ? Let's find out detailed information with 1C Vietnam through the article below.

1. What is digital economy?

Digital economy is understood as an economy that operates based on the transformation of digital technology and digital data into economic activities, business management, production and transactions.

To develop the economy, businesses need to focus on exploiting data and digital technology to create a new business model based on many technology platforms such as artificial intelligence (AI), Blockchain, and Internet of Things. (IoT), Cloud Computing, Big Data. From there, businesses will boost business efficiency, reduce costs, and enhance customer value.

2. Characteristics of the digital economy

2.1 Global connectivity

The digital economy creates a network that connects information, consumers and businesses. Through that, businesses can reach customers and improve their opportunities to participate in the international market.

2.2 Multi-platform management

Based on the digital platforms facebook, tiktok, youtube, etc., businesses will easily communicate and exchange with customers. This helps optimize business processes and enhance consumer experiences.

2.3 Focus on user experience

The digital economy always focuses on customer experience, from interface to support services, creating the friendliest and most convenient environment for consumers.

2.4 Enhance the power of data and information

Data in the digital economy platform is mainly created by digital systems. This data is utilized by businesses and organizations to analyze customer needs, predict trends and optimize production and business processes.

2.5 Build automatic processes

The digital economy platform applies advanced technologies such as artificial intelligence (AI) and automated processes to increase efficiency and reduce labor costs.

3. Benefits of applying technology to the digital economy

Today, the digital economy plays an important role in the integration into the global technology chain of many Vietnamese businesses. Specifically:

• Improve business efficiency: The development of the digital economy will lead to a shortening of the production cycle, quality and reliability will also be significantly improved. At that time, the number of intermediary distribution layers is reduced, the connection between supply and demand will take place right on the digital platform, this helps boost productivity and improve production efficiency for businesses.
• Opens up new opportunities: The digital economy creates many new business opportunities such as: Developing digital products/services, developing breakthrough business models (shared services, e-commerce...) .
• Promoting competitiveness: Good control of the digital economy also helps create a new competitive environment, where businesses must strive to devise innovative and optimized strategies to survive.
• Promote creativity and innovation: Digital economy creates a favorable environment for businesses to apply modern technology to the development of products/services, helping to create new value and promote development. economic development.
• Opens up new opportunities for e-commerce: Digital economy allows buying and selling goods/services online, helping businesses get closer to international markets, attracting a large number of customers worldwide. gender.
• Creating jobs: The digital economy contributes significantly to creating many jobs related to information technology, data management and analysis. However, this model also requires highly specialized human resources to adapt to the development of current digital technology.

4. Current status of Vietnam's digital economy

Vietnam is one of the fastest growing digital economic markets in Southeast Asia. Many fields such as e-commerce, fintech (financial technology) and online services are experiencing strong growth. However, the current state of Vietnam's digital economy has the following outstanding characteristics and main challenges:

• Lack of information technology human resources: Vietnam lacks information technology human resources, needing highly qualified technology engineers and management capacity to meet the development needs of technology businesses.
• Weak legal and institutional environment: Lack of clear regulations and ordinances on the digital economy, causing difficulties in implementing digitalization and ensuring the legality and security of electronic transactions.
• Lack of digital infrastructure: Uneven access to the Internet, especially in remote areas, hinders access to digital technology and online services.
• Network security, privacy, information safety: Risks of security, information safety, and data leaks can make businesses and individuals the target of cyber attacks and data leaks.
• High initial investment costs: Applying digital technology requires large initial investment costs, which is a challenge for small and medium-sized enterprises, especially in an unstable economic context.

5. Digital economic development solutions for businesses

5.1 Perfecting institutions and policies for digital economic development

• Businesses need to actively adjust, supplement and complete relevant regulations within the framework of the digital economic platform.
• Strengthen investment attraction activities in the field of research and development of digital transformation technology.
• Amend and supplement conditions in accordance with measurement standards in Vietnam and internationally. At the same time, the digital economy helps facilitate comparisons of performance between Vietnam and countries around the world.
• Promote the effectiveness of policy packages to support digital transformation, especially policies related to capital and human resources. Establish support policies for young business models, and encourage the business of "Made in Vietnam" products.
• Carry out propaganda and dissemination of laws on digital transformation. At the same time, organize workshops to connect and share information, experience and knowledge related to digital transformation with businesses, localities and communities.

5.2 Improve the quality of digital human resources

• Strengthen support and encourage cooperation in training human resources on digital transformation between schools, research institutes and businesses at home and abroad. Especially supporting student groups to intern and work at businesses related to digital transformation.
• Invest in developing human resources specializing in information security as well as meeting professional skill requirements in this field. Thereby, establishing policies to attract and retain human resources with qualified information security standards.
• Form a network of connections between experts and scientists to promote solidarity in the research and sharing process for digital transformation activities.
• Encourage and promote private enterprises to implement short-term training projects on digital transformation and digital skills for the workforce.

5.3 Application of digital office solution 1C:Document Management supports digital transformation

Currently, digital transformation plays an important role in the business restructuring process, to flexibly adapt to changes in the business environment. Applying information technology and digitalization is necessary to optimize business processes, enhance customer interaction, and improve employee performance.

Digital Office Solution 1C:Document Management supports businesses in converting the management model and operating the process of digitizing documents to effective electronic libraries. The software possesses advanced search features based on metadata, providing quick access to related documents and creating a seamless information retrieval flow.

Besides, the solution helps businesses automate processes, manage work assignments, and increase cooperation between departments and individuals in the company. For large corporations, applying the 1C:Document Management Digital Office solution helps limit risks when business processes are automatically standardized in a clear order. Please contact 1C Vietnam immediately for more detailed advice on this superior software!

Thus, 1C Vietnam has explored with readers the concept of digital economy? Characteristics, benefits, current situation as well as solutions for developing the digital economy. Through that, Vietnam needs to have policies and strategies consistent with reality to create a favorable environment for developing industry 4.0. If administrators want to know more useful information about business knowledge, don't forget to follow the latest articles at 1C Vietnam!