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Virtual Communities - Political and Economic Impacts

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Virtual Communities - Political and Economic Impacts

The impacts experienced by both Government and business have been considerable following the introduction and cultivation of virutal communities within modern society (Porter, 1997, p. xvii). These changes are a result of increased consumer power within both consumption and production of goods and services and subsequently have forced traditional institutions to adapt and realign their operations to compliment these changes in technology (Poster, 1997, p. 214).

History

Due to the transparent and fluid nature of virtual communities, the initial changes to society were experienced when users were instantaneously granted a sense of power through their participation in these online environments, particularly within discussion boards and weblogs. Business models began to change throughout the 1990s as online shopping or e-commerce was established and users were interacting with companies via business-to-consumer (B2C) and consumer-to-consumer/peer-to-peer (C2C/P2P) transactions (Bidgoli, 2002, p. 50). It was during this time that privacy issues and government control became apparent and the need for appropriate policies was required in order to establish and maintain control of these technologies (Flew, 2005, pp. 40-60).

Current Issues

According to Manuel Castells (2000), networking has become a significant driving factor in this recasting of society, where both government and business will benefit, providing they adapt to these technological developments. In regards to political impacts, the power of the nation state is declining, with increased interaction being experienced throughout all tiers of government, particularly at a grassroots, local and state level. Virtual communities such as weblogs and discussion forums have provided a ‘soapbox’ for political, environmental and social activism, extending the reach of alternative information throughout society and ultimately detracting from government authority (See Online Activism).

Business organisations have also become interlinked or networked, with projects being completed via internal and external communication networks within companies. Inter-industry cooperation/collaboration, digital or video conferencing and the expansion of business markets are now being implemented throughout virtual communities, enabling a higher level of output to be experienced whilst maintaining, if not improving, product quality (Hoyt, 1998). Users have also become involved in this collaborative production process, further extending the brand’s ability to communicate with their audience. An example of this is within gaming subcultures, where users have become co-creators (Flew and Humphreys, 2005, pp. 105-108).

Future Developments

The future role of government and business is determined by its ability to adapt and continually evolve as technology does. If this is done successfuly, through the decentralisation of traditional structures and models, society will become truly ‘global’, embracing a matrix of interconnected links and networks, allowing for an egalitarian democratic discourse to emerge.

Further Information

See Also:

References

Bidgoli, H. (2002) Electronic Commerce: Principles and Practice, New York: Academic Press, ISBN 0120959771.

Castells, M. (2000) "Toward a Scoiology of the Network Society," Contemporary Sociology, vol. 29, no. 5, pp. 693-699.

Flew, T. (2005) New Media: An Introduction (2nd ed.), Melbourne: Oxford University Press, ISBN 0195550412.

Hoyt, B. (1998) A Project Management Approach to Online Communication, retrieved September 5, 2005, from http://www.december.com/cmc/mag/1998/jun/hoyt.html

Porter, D. (1997) Internet Culture, New York: Routledge, ISBN 0415916844.

Poster, M. (1997) "Cyberdemocracy:Internet and the Public Sphere," in Porter, D. (ed.) Internet Culture, New York: Routledge, pp. 201-217, ISBN 0415916844.

Contributors to This Entry Include:

User:Kirsty Knox


Kirsty Knox 06:43, 28 Oct 2005 (EST)

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