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02 ENVIRONMENT AND MARKET

There are two clusters of countries: Spain is the leader of the less developed cluster, showing better results than Italy, but far from the rest of the main countries in the region and European digital leaders.

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is the position of Spain in the INSEAD Global Innovation Index

14

Spain is the 14th economic power worldwide

INSTITUTIONAL ENVIRONMENT

The institutional framework influences the operating environment of the different players of the economy and the digital society. Aspects such as the easiness of doing business or the regulatory and taxation systems determine factors such as the characteristics and purpose of investments or business competitiveness.

In this regard, governments can and must provide (through regulatory policies), encourage (through incentives) or even lead (through its use and consumption) the development of digital economies. In the case of Spain, we fall relatively behind, except in terms of easiness of doing business.

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INNOVATION ENVIRONMENT

Digital innovation helps to create new business and markets models, encourages the introduction of services and applications in different sectors and areas, and promotes the transformation of the economy and society. This section examines this aspect from the perspective of public and private dynamism in the area, as well as from the vantage point of the context itself, paying particular attention to the funding of innovative initiatives and the attitude towards them.

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TRUST

An atmosphere of trust is fundamental for individuals, companies and institutions to interact through digital channels. The generation of trust depends on many elements: from user-experience (speed, secure payment, usability, etc.) to assurance experience (privacy and security).

With regard to privacy and accountability, aspects such as a legal data protection environment and the existence of action channels are of relevance when such regulations are breached.

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MARKET

Analysis of the size and maturity of the local market, potential of access to third markets and growth, paying particular attention to the digital component (ecommerce, content, etc.).

Spain is the fifth economy in Europe, with a growing export capacity and a readiness to open up to foreign markets. Spain is the fourth largest electronic commerce market and one of the largest content markets in Europe.

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