The Blog of the European Association for Digital Transition
For years we have been witness to a range of debates, formulations, and written proposals on the future of work. The impact of digitalization and technological change sparks many of these debates, as do trends that have long existed as a result of changes in how the workforce is composed, business models, and, ultimately, the process of globalisation that accelerated at the end of the last century.
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A recent report by analysis firm Credit Suisse predicted that Inditex, the Spanish multinational that owns the Zara brand, would end up selling its garments on Zalando, a German marketplace. The report foresaw that the same would happen with another important European textile giant, H&M. It would be, according to Credit Suisse, not only a logical step but also a necessary one in the face of how rapidly physical commerce is evolving, which is in a sharp decline that has been accelerated by the pandemic.
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The Data Governance Act being prepared by the European Commission is a key element in creating a single data market aligned with European Union values and principles. It’s obvious the EU starts with a disadvantage in this area, but the technological developments still to come, in which the roll out of 5G and the Internet of Things will play a key role, make it clear there is still a long way to go, especially in the industrial field.
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The ‘Save your zone’ campaign has seen significant development institutionally. During November and December, the EADT sent hundreds of letters explaining its position to the mayors of the main cities in Spain, Italy, France and Germany, as well as to dozens of trade associations, employers and unions.
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Surely the scene is familiar to you. To give a gift, the discounts or just in daily life, we turn to e-commerce, so comfortable and tempting in these strange times when crowds make us feel apprehensive. And once we decide to buy ‘online’, the most reliable alternative is Amazon, with its huge offer, competitive prices and, above all, its efficient delivery system.
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The Christmas holidays are over, extended in Spain to Three Kings Day, and the yearly ritual now heads directly to the sales season. A few years back it was a big social and economic event; now, in part because of the effect from Black Friday, it’s lost some relevance but is still marked on the calendar in red for many businesses.
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Should it be of interest, we are reproducing an article written by our president, Ricardo Rodríguez Contreras, in the Spanish newspaper El Economista, about our ‘Save your zone’ campaign.
All you have to do is walk down the shopping streets of any Spanish city to verify a reality: the lock downs and restrictions to fight the pandemic have put nearby businesses on the edge of a cliff. According to the Spanish Trade Confederation (CEC), some 67,500 establishments, 15% of the total, have already closed forever. And in the short term, almost 50,000 more could fall, estimates the same source. One in four businesses could disappear in just one year.
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Since the end of November, the European Association for Digital Transition has been doing the ’save your zone’ campaign in the four leading economies of the European Union – Spain, France, Italy and Germany. With this initiative, we are looking to defend nearby stores during a Christmas season that, for many businesses, will decide their survival.
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Amazon’s announcement last week that it was launching its own online pharmacy not only shook the US drugs market but also raised questions here in Europe. The online retail giant has already reshaped the shopping and shipping landscape. Now, it plans to enter the prescription and over the counter medicine market worth the equivalent of €260 billion in the US alone.
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Amazon was born in 1994 as a bookstore, because it was clear to Jeff Bezos that book sales were a perfect fit for e-commerce. The founder of Amazon developed the right idea at the right time, and the rest is an impressive story of business success: Amazon is worth more than a trillion and a half dollars on the stock exchange today. To give some context, this is a figure that far exceeds the combined GDP of Spain and Portugal.
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