Abstract

An important lesson on transfer of technology to rural areas with poorly developed institutions of market can be learned from the attempts of a business firm in India. This firm, out of their own business interest, acted to reduce the digital divide by setting up thousands of village-based Internet kiosks run by farmers on commercial lines. Farmers benefit by accessing information on markets for products. Benefits to farmers through creation of higher wealth have been achieved through creating new market institutions by the business firm. The farmers and the firm are stakeholders, and together they jointly produce new market institutions through information. Thus, an institution makes technology transfer possible.

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