Thursday 23 January 2020



A New Perspective and Global Economy

A New Perspective and Global Economy

While there have been many changes in the world, the majority of governances are still working based on traditional and outdated principles related to science, economy and power. Today, there is a new generation with a different perspective toward the world, defining science, economy and power based on novel descriptions. If you come from an older time and have no perception of what the youth want, you will definitely fail to communicate with them. There will be some misunderstandings and you could not comprehend their goals and objectives. Especially, there are some new terms in economic topics, understanding of which is difficult for the older generation. To test this, I encourage you to talk about the productivity of Facebook and Telegram with the elderly around you regardless of their level of education. Then, you will understand how these new concepts are incomprehensible to the older people. Many of managers, who world with wealth-creating businesses, have no practical or theory knowledge about the ways Facebook and Telegram use to make money. For instance, they have no idea about the procedures performed in “Aparat”, which led to the increased value of this system. Similar attitude is observed toward venture capitals. When we talk about economic flourishing, we think about modern factors with many workers, which has a positive financial balance and its products are sold before entering the market. In our opinion, flourishing of the market is equal to the flourishing of economic agencies, which use their intelligent managers and principles of demand and supply, turning 10 IRR into 100 IRR by timely investment. However, the main part of economy and market is still managed by traditional methods. Heavy and light industries experience benefit and loss the same as the old times. The industry still needs metal and devices, and there are some industrialists who can meet this need and also businessmen who intervene and make their own benefits. The main wheels of the economy are still run by old brokerages. However, digital economy or the economy of future has led to the emergence of new methods, which lead to wealth creation regardless of the demands and supplies of the market. For instance, no physical product is created in Telegram, and just app owners present their products. Google has earned a huge income by managing and selling big data, which has made all investments astounded. Oil cartels have clear mechanisms. The fact that a large oil company sign a contract with another country on the ocean is a common cause and can be predicted by everyone even if it is involved with policies and exercise of power. However, Facebook has no ship and intervenes between no seller and buyer. Right now, there are many sellers on Instagram, trying to sell their products by advertisement. It is easy to understand that e-commerce has been flourished and significant numbers are observed in the market. But what does Instagram receive from these contracts? What is achieved more than providing bandwidth for users by the government or companies? With just a simple math, we realize that the government has obtained less than 30 billion IRR just by increasing the bandwidth in the past years. With regard to the numbers and amounts of embezzlement, these incomes are not that high to say that the benefit of the provided bandwidth goes to the government. In fact, the main benefit is somewhere else. Lack of general awareness and our traditional minds prevents are from realization of elements of new businesses to earn incomes worth of billions. Today, if we list the most profitable businesses of the world, after oil and entertainment, we reach things that are very new and, therefore, are left unknown. In this regard, those businessmen who work with newly emerged phenomena are unknown and traditional ways of thinking cannot comprehend them. Here, a type of alertness and intelligence is observed, which is not due to experience and most people cannot understand it. Because of that, they fail to realize their abilities. Meaning that they cannot recognize the businesses occurring on the cyberspace, which lead to profits, and those with no profit. We here that a company started from its basement (or garage) and have been turned into an economic giant after a year. However, the minute we start to analyze its work, we see that we have no understanding of the details and major principles of this enterprise. Frankly speaking, most of our organizations understand old and traditional needs. They know that one-two million jobs must be created to the youth every year. They think that the formation of new factories, schools, hospitals, stadiums, and train stations with large costs will meet the needs of our society. However, there are some new forms of entrepreneurships that have been flourished without the government money of facilities. They just need facilitation and business environment. Intelligent people define businesses that not only lower the unemployment rate, but also increase wealth creation. There is no strange concept involved in technological entrepreneurship ecosystem and business space. Sometimes, a simple increase in the bandwidth of the internet provides a rare opportunity to design a cheap and beneficial transportation system by some creative youth, who made money from “nothing”. For many years, people have used taxis or trucks to move. Telephone agencies can obtain a small share of this transformation with minimum investment. However, establishment of some intelligent apps has led to the realization of return of significant figure in this transportation. Meanwhile, not only the transportation rate is not high, but also is significantly reduced. However, there is a great wealth creation involved in this area. This can also occur in food, facilities, housing, products, and new technologies, which multiplies the benefits in addition to lowering the costs. Here, not only the government must not pay anything money, but can legally receive a share of profits, only if the business space is provided for others, especially intelligent youth. A space that is mostly virtual and just requires increased bandwidth and facilitated information technology.

The best business environment is economic ecosystem. There just needs to be orders by the government to recognize and support digital economy, especially knowledge-based economy, so that a technology ecosystem could be provided. The technology ecosystem and knowledge-based economy can turn into short-cuts for the society, which not only can take the burden away, but can participate in the benefit of companies. Therefore, the unemployment rate decreases and difficulties can be defeated by the lowest rate of risk and costs.

Parviz Karami

Advisor to the vice president for science and technology affairs

Publish date : 2018/03/10
Code : 122
Visit count: 436

All rights reserved for National Foundation of Elites
Address: No. 209 , between Navab Str and Roudaki Str. Azadi Str. Tehran - Iran Tel:+98 21 63478000