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Path dependence in the digital adoption process: a cross-section analysis of Italian firms with a special focus on the Apulia region

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  • Santiago José Gahn

    (Niccolò Cusano University)

Abstract

The increasing incorporation of ‘digital’ technologies has been a stylised fact since the 1940s. However, the study of the impact of ‘digitalization’ on the economic sphere (and potential feedbacks) is relatively recent. This paper aims to distinguish in a descriptive way which are the main variables that might explain the adoption of digital technologies in Italian firms with a special focus on the Apulia region. I find that the adoption of digital technologies is path-dependent. Once a firm has introduced a technology (in the last 3 years), expectations to continue investing in that technology are persistent. Finally, geographical location is of paramount importance, leading to the support of the local economies of scale hypothesis.

Suggested Citation

  • Santiago José Gahn, 2025. "Path dependence in the digital adoption process: a cross-section analysis of Italian firms with a special focus on the Apulia region," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 52(4), pages 967-987, December.
  • Handle: RePEc:spr:epolin:v:52:y:2025:i:4:d:10.1007_s40812-025-00345-4
    DOI: 10.1007/s40812-025-00345-4
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    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • E12 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Keynes; Keynesian; Post-Keynesian; Modern Monetary Theory
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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