This article capitalizes possible impacts of ICT to the economy of Armenia with forecasts and distinction with ICT related succeeding several countries. It is introduced in the article the current situation in Armenia and gives policy recommendations. Pointed in the article, that the world economy is transforming from an industrial age to an informational/knowledge-based age, where the role of ICT is becoming increasingly powerful and vital compared to labor force and capital. The article aims to show that Armenia with its objective and subjective economic and political problems could become developed and wealthy with well-built ICT industry promoted strategy. Authors suggest the recommendations to the Government of Armenia needs in the establishment of healthy operation of the political-economic body of the country based on market-oriented cooperation between public-private and research development centers/educational sectors of the country to better utilize the benefits of ICT industry. It is noticed in the article, about the important role of several indicators that have been developed by international organizations and consulting companies to assess the correlation between ICT and economic growth as well as the major factors of ICT growth. Authors emphasis the impacts of ICT on a country are on both levels of the economy: macro and micro levels. On the macro level of the national economy, ICT impacts the information and knowledge assessment process; speeds up and reduces the costs of production and transactions; and connects people, NGOs, enterprises, and communities. Bellow in article, is presented the cases of several countries for better illustration of the economic, political and social benefits of ICT industry growth. It is pointed that the ICT industry has become the carrier of modern national economy development: the country is better equipped, it would better benefit from the process taking place in the world market.
Keywords: ICT, e-commerce, Armenia, ICT industry, innovative model, technopreneurship
JEL Classification: E20, O30.
Cite as: Hovhannisyan, H., Chobanyan, A. (2018). Economic impacts of ICT industry: case of Armenia. Marketing and Management of Innovations, 3, 260-267. https://doi.org/10.21272/mmi.2018.3-23