The Role of Technology and Innovation on the New Economy Transformation

Economic transformation is the continuity movement of resources from low to higher productivity activity which is crucial for creating employment and a more robust economy where little attention has been paid. Technology and innovation play a vital role in new economic transformation. This study will explore the pivotal role of technology and innovation on the new economic transformation highlighting their impact on productivity, employment and global competitiveness. The purpose is to understand how technological advancements transform the economy. The objectives will be characterized by digitalization, automation, and artificial intelligence (AI) and how they are redefining how businesses operate, government functions and individuals interact within the economies. This research seeks to identify the mechanisms through which technology will foster economic growth which will enhance productivity thereby generating new business models. Additionally, the study will analyse the role of technology and innovation in the transformation of the global economy discussing both theoretical perspectives and empirical findings to understand the opportunities and challenges posed by this new economic paradigm. The study theories included diffusion innovation theory and innovation theory. This study will employ an explanatory research design where case studies from different sectors will be analysed. The findings of the research outcomes will contribute to the literature on technology and innovation on the new economy transformation which will provide practical insights for organizations, leaders, policymakers, academicians and researchers who seek future research and interventions because of some of the challenges that may be posed. Additionally, the study will focus on future technological advancements and their impact on the new economic transformation. By understanding the role of technology and innovation in the new economy transformation, organizations can develop strategies that will foster economic growth and organizational productivity in order to transform the new economy. It is hypothesized that the role of technology and innovation will have a positive influence on the new economic transformation as the leaders and policymakers who will prioritize technology and innovation will improve on economic growth and organizational performance.