There used to be a 3D world. We all lived in it, went to work (in cars, usually), walked around and did things. To get information (or be entertained) we read books. We listened to music on records or radios, or by hearing someone perform live. When we needed something we’d go to a store and buy it.
Then the Internet hit town and took over the world as we used to know it. The changes brought by the Internet (and life in “cyberspace”) have been revolutionary. The economic changes now playing out in the world are complex and come from many different sources ( including the Byzantine workings of the banking and mortgage industries), yet there is a solid argument to be made that the changes made by the Internet are also impacting our economy. Let’s take a look at the ways our economy deals with cyberspace is also impacting business and modern life.
With the advent of the Internet, actual 3D businesses began being referred to as “brick and mortar,” to differentiate them from online business. Today many businesses have created an online ordering model to help support their in-store retail business. For many companies this is key to staying viable in the current marketplace.
It isn’t just retail sales that have changed, however. The book publishing industry is rapidly changing in response to the Internet, most notably the competition that Amazon.com has brought to brick and mortar bookstores. The changes in publishing are still continuing, however, as “real” books are being displaced by electronic readers like the Kindle and the Nook.
Along with publishing and retail sales, the music and film industries are rapidly evolving as well, as people are finding ways to enjoy entertainment via digital distribution on the Internet, instead of being limited to watching films in movie theaters or hearing music on cds.
The Internet revolution is still evolving…so let’s stay tuned and see where it takes us!