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Chapter 2
Emerging Technologies and
Organizational Transformation
ABSTRACT
Technologies continue to evolve and to largely transform business practices. In the near future, a few
technologies, such as Internet of Things (IoT), Augmented Reality (AR), additive manufacturing (3D
printing), and robots, can substantially infuence businesses. The reason to focus specifcally on these
technologies as leading factors for organizational change is twofold: frst, there already exist many pro-
totypes and pilot experiments; and second, these technologies have the potential to provoke substantial
breakthroughs, leading to substantial business changes. The chapter proposes an overall vision about
the impact of these four emerging technologies on business practices and how they will fuel substantial
business transformation. The chapter starts with a short analysis how IT infuences the core business
models and value formation. Then, the authors present the state of the art in e-business technologies and
current emerging trends. Finally, the authors propose a detailed overview and discussion of the newly
emerging bridge technologies, illustrating with examples their role and economic potential.
INTRODUCTION
Information technologies made the world closer,
more interconnected and highly competitive. Due
to sophisticated technologies, companies improved
business efficiency and performance. Information
technologies played an increasing economic role
for reducing transaction costs and agency costs,
providing the backbone infrastructure for value
formation (Laudon & Laudon, 2007). Thus, they
allowed many new business models to emerge,
bringing additional sources for value-creation for
customers. Moreover, e-business applications have
largely transformed companies to become more
flat, boundary-less, entrepreneurial, process- and
project-oriented, developing complex and inno-
vative global business models. Today, Internet
is an essential and indispensable infrastructure
for business transactions on many B2B and B2C
levels, becoming a universal platform for services.
In the recent “Global Wealth Report” (Credit Su-
isse, 2013), the global wealth is reaching a new
high in 2013 with expectations for a rise with
another 40% for the next 5 years. In the same time
Albena Antonova
Sofa University, Bulgaria
DOI: 10.4018/978-1-4666-6473-9.ch002