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Artificial Intelligence-Driven Digital Scalability and Growth Options

Roberto Moro-Visconti ()
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Roberto Moro-Visconti: Università Cattolica del Sacro Cuore

Chapter Chapter 3 in Artificial Intelligence Valuation, 2024, pp 131-204 from Springer

Abstract: Abstract Scalability indicates the ability of a process, network, or system to handle a growing amount of work. Scalability fosters economic marginality, especially in intangible-driven businesses where variable costs are typically negligible. Massive volumes may offset low margins, producing economic gains. Digitalization is defined as the concept of “going paperless”, the technical process of transforming analog information or physical products into digital form. Digital scalability operates in a web context, where networked agents interact to generate co-created value. Economic and financial margins that represent a primary parameter for valuation are boosted by cost savings and scalable increases in expected revenues. Digitalized intangibles synergistically interact through networked platforms that reshape traditional supply chains.

Keywords: eCommerce; Outsourcing; CAPEX; OPEX; Break-even point; EBITDA; EBIT; Blitzscaling; Digital supply chain; Digital platform; Real options; Networks (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/978-3-031-53622-9_3

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