Thursday, April 21, 2016


ADOPTION OF INNOVATION IN INTERACTIVE COMMUNICATION NETWORKS OF CENTRAL EUROPE

Karol I. Pelc
Michigan Technological University

Paper accepted for publication in Transformations, forthcoming in 2016



ABSTRACT              
 A model of innovation adoption process in interactive communication systems is presented. It combines classical approach to innovation diffusion (Rogers, 1962) with new elements of adoption analysis specific for social media and interactive communication technologies. Three models of adoption process are compared. Innovation adoption is viewed as a learning process consisting of multiple phases. Importance of the following two dimensions is emphasized: penetration rate and interactivity level. They are applied as indicators of adoption of novelties in the interactive networking environment. Interactive networks are defined as a category broader than social networks by including internet-based mobile messaging systems. Empirical data used for illustration of the adoption processes are derived from statistics of eight Central European countries, personal interviews, and selected comparative data at a global scale. Review of operational characteristics of networking mechanisms is focused on empirical material that illustrates two cases of interactive networking i.e. social networking, represented by Facebook, and mobile interactive messaging systems, represented by WhatsApp. Selection of statistical data and direct observations of user behavior allowed formulation of three hypotheses on causes of recent changes in interactive communication networks. Economic wealth of society i.e. level of national income (measured by GDP per capita) is not the only factor influencing adoption of innovation in interactive networks. In some cases it may even be not the most important one.  (Data excerpted from Table 3).

Facebook penetration rates in Central Europe and economic/demographic data of selected countries  in 2015. 

Country
Population
GDP/capita
estimate
PPP $
Internet/
population penetration %
Facebook/
population penetration %
Facebook/
Internet users
%
Austria
  8,584,926
47,500
83.1
40.8
49.1
 
Czech Republic
10,538,275
31,500
 
79.7
42.7
53.6
Germany
 
81,174,000
47,400
88.4
35.7
40.4
Hungary
 
  9,894,000
26,000
76.1
51.5
67.7
Poland
 
38,005,614
26,400
67.5
36.8
54.5
Slovakia
 
  5,421,349
29,500
83.1
42.4
51.0
Slovenia
 
  2,062,874
30,900
72.8
41.2
56.6
Switzerland
 
  8,236,573
59,300
87.2
42.5
48.7
SUMMARY
DATA
 
 
 
 
 
Average level
 
20,490,000
37,312
79.7
41.7
52.7
Minimum
  2,062,874
  Slovenia
26,000
Hungary
67.5
Poland
35.7
Germany
40.4
Germany
Maximum
81,174,00
  Germany
59,300
Switzerland
88.4
Germany
51.5
Hungary
67.7
Hungary
REFERENCE DATA
 
 
 
 
 
United States
321,368,284
56,300
 
87.9
59.7
67.9
European Union
 
507,970,816
(total)
37,800
(avg)
79.3
(avg)
46.5
(avg)
58.6
(avg)

Data sources: Facebook (2015), “Potential reach estimates” https://www.facebook.com/ads/create/; Internet Statistics 2015, “European Union Internet Users 2015” http://www.internetworldstats.com/stats9.htm  (retrieved 02/28/2016), "The World Factbook: Field listing – Location". The World Factbook. Central Intelligence Agency. Retrieved  12/10/2015, and www.cia.gov/library/publications/the-world-factbook/rankorder/rawdata­_2004.txt. Retrieved 04/03/2016.


 



Monday, March 31, 2014

Innovation Adoption Process

Adoption Process and Complexity of Innovation in Social Networking

Karol I. Pelc
Paper presented at the 20th Annual International Conference on Industry, Engineering, and Management Systems,
Cocoa Beach, FL, March 23 -26, 2014


ABSTRACT
The purpose of this paper is to introduce a new approach to analysis of innovation adoption that is applicable to innovation in social networking. This approach combines measures of innovation adoption with dimensions of technology complexity. Innovation adoption is viewed in the context of innovation diffusion, usually measured by the rate of adoption expressed by the number of adopters vs. time or by penetration rate within given population. Those measures are based on statistics of product/process/system acquisition events. However each individual adopter needs to complete the adoption process to fully benefit of innovation. It implies that adoption of innovation should not be viewed just as an event but rather as a learning process. Hence the phases of that process need to be identified and assessed in terms of dynamics of learning. Six basic phases of adoption of innovation in social networking are proposed. On basis of literature review and available empirical data, a new dimension called “interactivity level” is proposed and defined. It is specific to innovations in social networking, where the main purpose of innovation is to improve interactive communication among actors in a network. The interactivity level reflects amount of active knowledge and effective use of social media/technologies. Surveys of social media users and comparative study of average interactivity levels in different countries demonstrate application of that dimension. Complexity of innovation being subject of adoption may be a factor influencing the adoption. It is suggested that three dimensions of technology complexity: multiplicity, diversity, and interconnectedness (introduced by M. Jacobs) could be applied in analysis of the adoption process of innovation in social networking.

Tuesday, March 26, 2013

Diffusion in Social Networking


DIFFUSION OF INNOVATION IN SOCIAL NETWORKING
Karol I. PELC [1]
 
Paper accepted for publication as a chapter in the book "Technology - Society - Sustainability" ed. L. Zacher, Kozminski University, Warsaw, Poland. Forthcoming in 2014.
ABSTRACT
The purpose of this paper is to present a model of innovation diffusion process applicable for analysis of innovation in social networking. Until recently, the innovation diffusion was measured by the rate of adoption expressed by the number of adopters vs. time or by penetration rate within given population. On basis of literature review and available empirical data, a new, additional dimension called “interactivity level” is proposed in this paper. It is specific to innovations in social networking, where the main purpose of innovation is to improve interactive contacts among actors in a network. The interactivity level reflects amount of active knowledge and effective use of social media/technologies. This dimension has not been systematically studied yet. However some recent surveys of social media users demonstrate a need and suggest application of that dimension. It is possible to improve evaluation of diffusion of innovation in social networking by introducing a scale of interactivity level, expressed by the mode/scope and intensity of interactive contacts among users of different social media. Such approach implies that adoption of innovation should not be viewed just as an event but rather as a learning process of each adopter. Hence some phases of that process need to be identified and assessed in terms of dynamics of learning. Six basic phases of this process are proposed in this paper. Comparative study of average interactivity levels of users in different countries is proposed as an indicator of evolution of social media in the global business environment.



[1] Dr. Karol I. Pelc is a professor of technology and innovation management, emeritus, at the Michigan Technological University, Houghton, Michigan, U.S.A. Please address any comments or questions to kipelc@mtu.edu