Digitalisation and the foundational economy: a digital opportunity or a digital divide for less-developed regions?

Reynolds, Laura, Henderson, Dylan ORCID: https://orcid.org/0000-0002-1466-1315, Xu, Chen and Norris, Laura ORCID: https://orcid.org/0000-0002-3688-398X 2021. Digitalisation and the foundational economy: a digital opportunity or a digital divide for less-developed regions? Local Economy 36 (6) , pp. 451-467. 10.1177/02690942211072239

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Abstract

The foundational economy’s heightened traction in academic and policy discussion stems in part from its potential to mitigate challenges faced by less-developed regions. While supporting foundational sectors may contribute to inclusive and sustainable growth, we question whether digitalisation can enable these aims. Through a case study of Wales, we point to the differences in digital capability of foundational and nonfoundational businesses in urban and rural parts of the region. We show that while investment in digital infrastructure and digital technology use may support the foundational economy, digital barriers risk countering the benefits of its sectors’ embeddedness and exacerbating spatial divides.

Item Type:	Article
Date Type:	Publication
Status:	Published
Schools:	Geography and Planning (GEOPL) Business (Including Economics)
Subjects:	G Geography. Anthropology. Recreation > G Geography (General) H Social Sciences > HB Economic Theory T Technology > T Technology (General)
Publisher:	SAGE Publications
ISSN:	0269-0942
Funders:	European Regional Development Funds through Welsh Government
Date of First Compliant Deposit:	21 December 2021
Date of Acceptance:	17 December 2021
Last Modified:	07 Nov 2023 09:11
URI:	https://orca.cardiff.ac.uk/id/eprint/146228

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