FUNDAMENTAL ASSUMPTIONS

A handful of fundamental assumptions support the applicability of techonomics to
anticipating organizational trends. These assumptions, simple as they appear, are
fundamental to the “natural selection” analogy that supports the relationship between
technological development and economic impact. Remove any one of these four
fundamentals from the marketplace and economic pressure for organizational evolution
is disrupted.

•
Relatively free market
— A free market is required for the economic
advantages of technological advance to be embraced. In a contrived/controlled
marketplace, meritorious practices give way to political persuasion,
regulation or subsidy.
•
Competition
— Competition in the marketplace is the force that drives
organizations to embrace best practices. Best practices fuel the rapid pace
of technology adoption, thereby advancing the economics of the enterprise.

•
Competition
— For organizations to progress, the universe of
knowledge must be expanding. The rate at which this expansion occurs
in any period of time determines technology’s degree of influence on
organizations within the framework of the economy. Hence, in times of
rapid knowledge expansion, techonomic trends become more evident and
more important.
•
Self-interest
— Individuals and organizations make decisions based on
their desire to survive and thrive. Without these desires, organisms/organizations
— be they individual, corporate or national — cease to improve,
leading to demise. While some decisions and actions are conceived out
of good will, economic viability is at the forefront of entities that stand
the test of time. Whether producing for the market or buying from the
market, organizations expend resources on the best perceived products
and services. Once self-interest for improvement is removed, by entitlement
or regulation, the fundamental motivation for progress is destroyed
— along with the vitality it brings.