The business revolution

When the internet was first introduced, it was thought of as merely a resource for information, accessible by individuals situated in localities all around the world. This new technology was thought of as so amazing, the idea that people all around the world could see the same exact page on their computer was amazing! I can still remember when my primary school first got the internet installed on the library’s computers- the technology was seen to be so delicate and there was also very little to search for in comparison to the internet nowadays. However over the past 15 years or so, the internet has evolved so rapidly and grown so much that it is hard to picture how it used to be. Along with the technology’s evolution, so too have the uses of the internet evolved. What was once used for merely searching for information is now used for communication, a business tool, as well as for media sharing of television, music, radio and film, networking opportunities and even whole businesses. The idea of business over the internet is what I planned to focus on in my blog this afternoon.

In the past decade, the use of the internet for business purposes has sky rocketed. This has led to the huge increase in the expansion of business via the internet, and can possibly be attributed to the internet’s ability to reach such a large audience with a relatively inexpensive tool. Due to such a large increase in the size of a business’s market through internet tools, and the ability of the internet to promote local businesses worldwide and not only locally, a business revolution has occurred. This revolution allows businesses an ease in focussing their scope onto niche markets, which go beyond the mainstream interest which local businesses would previously had to have serviced in order to maintain profits. However with the introduction of internet based businesses such as Amazon.com, it is clear to see that the internet has forever changed the global business environment in a major way. This new business revolution has been labelled “The Long Tail” by Chris Anderson who has published a book and has a subsequent blog regarding the effect that the internet has had on business and niche markets all over the world. This ‘long tail’ effect also discusses the idea that by focussing on niche markets businesses, and even performers- such as bands and other musicians- can actually survive and create and maintain a professional career by reaching and having 1000 true fans. Anderson discusses in his blog the idea that with only 1000 devoted true fans that will buy anything you sell or produce the performer can make a professional living out of their work. The long tail effect essentially states that by merely focussing on a niche market, a business can successfully operate, a phenomenon which could not have occurred without the internet and the new technologies and trends that have subsequently followed. It is possible that networking opportunities have been created by this long tail effect, however maybe it was the long tail effect on business that has been created by online networking communities. I think that in this case, I may just leave at this ‘chicken or the egg’ idea and further discuss this topic maybe further down the track in future weeks.