Digital strategies of companies: growth potential and reasons for failure

Abstract

Countries, industries and business leaders face an increasingly complex world characterized by the proliferation of new digital technologies, affecting productivity and causing organizational disruptions.Today the reward for success and the penalty for failure have become even greater than some time ago. Most digital strategies do not reflect how the digital environment is changing the fundamentals of the economy, the dynamics of industries, and the meaning of competition. Digital strategy must be seriously different from what we usually see now – otherwise failure is inevitable. Why is this possible at a time when almost every company in the world is thinking about its digital future? Why are so many digital strategies unsuccessful? The answer should be related to how much large and influential economic force the digital environment has become, and how it is becoming incompatible with traditional economic, strategic and operational models. The problems, especially standing out from their General number have been revealed in the article, recommendations to the heads of large organizations on the implementation of corporate digital strategies have been given. The ideas in this work are based on research, that has considered the importance of a more inclusive infrastructure to expand access to digital technologies and the emergence of new families of technologies in this scientific field. These ideas have been illustrated with evidence from the recent annual series of global market studies, which examine corporate practices in the light of digitalization.

Keywords

• company’s digital strategy
• digitalization
• digital transformation
• competition
• digital environment
• global market