Designing the Evolutionary Model of Iran's Transition to Digital Economy

Nowadays, digitalization of economy in order to achieve productivity enhancement, improvement of economic growth and job creation has become one of dominant approaches in most countries all over the world. Considering the traditional structures governing the country's production and trade and the lower competitiveness of economy in Iran, accompanied by lower productivity growth, lower economic growth and higher unemployment rates, the development of a digital economy to solve some of these problems is a requirement and not a choice. The purpose of this research is to design a model that can transform the country from a resource-based economy to a digital economy. To prepare, compile and design a transition model, a multi-stage methodology is employed. In the first step, the transition literature is reviewed and based on the findings, some dimensions of transition model are identified. In the second step, “ground theory” approach is used to develop and design an evolutionary transition model to digital economy. This model examines and analyzes tacit knowledge and experiences of experts on digital economy that are collected through interviews based on qualitative data collection approach from experts. The findings of the expert interviews are a collection of narratives, codes, and documents showing knowledge and experiences of interviewees. The existing narratives of experts are the basis for the classifications of subjects. The method of analyzing these data is coding. The coding method has three steps: open coding, axial encoding and selective encoding. ATLAS.ti software is used to analyze qualitative data collected through interviews. Finally, by synthesizing the findings of the literature review as well as findings of interviews, the transition model is identified and introduced based on a logical structure of the designing and the evolutionary process of transferring the Iranian economy from the present state to a digital economy. The findings reveal that the evolutionary process of the transition model to digital economy in Iran is based on following dimensions: Identification of the status quo, providing requirements for achieving digital economy, explaining strategies and policies for growth and development of digital economy, identifying opportunities existing in digital economy, developing the applications of the digital economy and the optimum situation, namely the achievement of the digital economy.
JEL Classification: L63, K23, L43, C52.