11.03.2014 Views

beyond pt 0 23/1

beyond pt 0 23/1

beyond pt 0 23/1

SHOW MORE
SHOW LESS

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

Cha<strong>pt</strong>er One<br />

Study context, aims and e-commerce trends<br />

This Cha<strong>pt</strong>er places the study into context. It sets out the study aims and<br />

discusses how these are achieved. The Cha<strong>pt</strong>er also aims to establish some<br />

dimensions of the remarkable transformation that e-commerce is bringing<br />

in Australia and globally.<br />

1.1 The aims of the study<br />

There is compelling evidence that the economy is in the midst of a major<br />

structural change.<br />

The challenge that this study addresses is to forecast the structural change<br />

that e-commerce may bring. It aims to provide an indication of the likely<br />

nature of changes that are in store and their flow on impact through the<br />

economy at large using quantitative measures where practical, recognising<br />

that information about the nature of the change that is underway is still<br />

fragmentary. While taking into account the developments that can be<br />

expected abroad, the focus is upon what greater utilisation of e-commerce<br />

will mean for Australia.<br />

1.2 Approach to the study<br />

This study has combined the application of economic models based on<br />

theoretical frameworks with qualitative input from business leaders to<br />

form a rigorous and balanced approach that seeks to minimise the pitfalls<br />

inherent in each used in isolation. Industry input was obtained from an<br />

Industry Reference Group while the MONASH model was used as the<br />

framework for the main quantitative part of the analysis.<br />

The Industry Reference Group<br />

The Industry Reference Group (IRG) comprised of business leaders from<br />

selected industry sectors that were invited to join. All of the IRG members<br />

have considerable practical expertise and an understanding about the key<br />

strategic issues. All hold responsibilities for the use of e-commerce in<br />

conducting their business, assessing its impact upon them, or advising<br />

about e-commerce issues in general.<br />

While drawing on IRG advice and input, decisions about the direct<br />

impacts, the nature of the flow on impacts and other findings remained<br />

the responsibility of the consulting team.<br />

A framework for economic analysis<br />

The MONASH model is a computable general equilibrium model of the<br />

Australian economy and provides a powerful tool for analysing structural<br />

change of this nature. Its use also imposes considerable discipline. It<br />

requires analysts to concentrate on impacts that are measurable in much<br />

the same way as those impacts are measured in the national accounts.<br />

Most importantly, in using the model it is not possible to extrapolate<br />

growth <strong>beyond</strong> the underlying capacity of the economy to deliver it<br />

within likely resource constraints, just as the real world economy is<br />

subject to similar constraints.<br />

1

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!