How Technology is Transforming Businesses

Recently, new companies are changing industries: Airbnb (Hospitality), Uber (Transport & Logistics), PayPal (Payments) and Amazon (Retail). One thing they have in common: technology is basis for their businesses. Additionally, we see non-tech companies increasingly investing in technology: the amounts invested totaled $28 billion in 2015, a growth of 263% from 2012, as the recent report “Internet Trends Report 2016”[1] pointed out.

As a result of those trends, different business models are merging. Walmart is a great example of a large corporation that is adapting to this new reality: the largest US retailer, that for years grew its physical presence, has made 14 tech acquisitions since 2011[2] and just bought its online competitor Jet.com[3]. Although Walmart and Amazon are both in the Retail industry, trying to evaluate their business model is not an easy endeavor:

We are living in a period where technology is transforming personal lives and businesses. Adapting to the changes may not be easy, but it’s definitely necessary. Companies need to learn how to handle technology as part of their overall strategy and leaders need to think differently.

Sources:

[1] http://www.kpcb.com/internet-trends

[2] https://www.crunchbase.com/organization/walmart-labs/acquisitions

[3] http://www.wsj.com/articles/wal-mart-to-acquire-jet-com-for-3-3-billion-in-cash-stock-1470659763