Promoting the adoption of digital technology: Strategic policy insights from a network effects model

Khuong Vu, Ibrahim Kholilul Rohman and Erik Bohlin

Telecommunications Policy, 2024, vol. 48, issue 10

Abstract: This paper examines a dynamic model of digital adoption by firms, incorporating network effects and highlighting the crucial role of government intervention to avoid a low stable equilibrium. The paper presents a strategic policy framework for promoting digital adoption effectively, offering three key insights for policy efforts targeting SMEs.

Keywords: Digital adoption; Network effects; Stable and unstable equilibriums; Critical mass; Promotion policy (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1016/j.telpol.2024.102852

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