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The EZones Movement Unites Entrepreneurs In Shared Citizenry Of The World.

In a panel at the G7-G20 Group Of Nations Summit on Solutions Through Inclusivity, Dr. Dale G. Caldwell expressed concern at the division we are experiencing in today’s society. It feels, he said, as if every choice today is your side versus my side, your party versus my party, your ideology versus my ideology.

But Dr. Caldwell has an insight that points the way to transcending this impasse, and avoiding this collision. 

His insight concerns the global energy of entrepreneurship. He is the originator of the concept of Entrepreneurial Zones or EZones, place-based accelerators of economic growth and community prosperity based on harnessing the energy of entrepreneurship rather than the dependency of welfare and charity. The EZones concept can apply anywhere in the world to raise the economic productivity of communities, and to improve lives.

The entrepreneurs who supply the energy, as individuals, groups, teams, firms, and networks, are unified in the principles and practice of creating value. Entrepreneurship is a producer-customer value collaboration. In today’s interconnected world, the customer might be on one side of the globe while the producer is on the other, or the interaction could take place in a village marketplace. It’s all entrepreneurship.

The entrepreneurial citizens of the world are united not only by their common economic interests, but also by a set of shared human values. Entrepreneurship is an elevated form of interaction between people that rests on proud foundations.

Caring.

Entrepreneurs demonstrate caring for their customers. They know that their customers are seeking to improve their own circumstances, whether in nutrition, connection, access to technology, availability of services, medical care, or any other field of life improvement. Because they care, entrepreneurs can identify new ways to reach higher ground for these customers, and make them a promise of better times ahead. They supply to meet others’ demand and to help them find value in a new and better experience.

The same caring extends to the community in which they operate. Entrepreneurs raise standards so that others can raise their expectations. 

And entrepreneurs care for themselves, aiming to achieve their own highest values in the pursuit of value for others.

Concern.

What economists call demand can be characterized as people wishing that things could be better. They are dissatisfied, uneasy. Entrepreneurs feel concern for this condition, and they develop a passion to eradicate it, and take responsibility for trying to succeed in doing so.

The entrepreneurial role of improving others’ lives stems from this concern. Without it, we would not expect to see the amount of entrepreneurial energy that we do – the unrelenting effort to innovate and improve.

Empathy.

For caring and concern to be directed at the right goals and at the highest and best outcomes for customers, entrepreneurs look to their own powers of empathy – to truly understand and sympathize with the innermost feelings of others. Empathy enables entrepreneurs to identify what’s important to customers and why, and to understand what tradeoffs they’ll make to substitute a new set of circumstances for the one they experience today. 

When customers rank some preferences higher than others, or make comparisons between one choice and an alternative, it is empathy that helps entrepreneurs evaluate, and guides them in designing and shaping just the right solution to the customer’s felt but unarticulated need.

Empathy is the entrepreneur’s number one skill, wherever in the world they operate.

Humility.

To be empathic requires humility, the suppression of one’s own ego-based certainty for the process of discovery of what’s right for the customer. The entrepreneur does not instruct the customer, or impose any conditions on them, or set unreasonable requirements. The entrepreneur asks and inquires, seeking to understand, to get on the customer’s wavelength, to understand their mindset. They design their products and services in the humble desire to be of value.

Dependability.

The entrepreneur is a promise-maker and a promise-keeper. The promise to make life better and to be of value must be viewed as credible. The customer must feel able to depend on the producer. There must be trust, and a reputation must be earned. Entrepreneurs understand this, because it shows up in their P&L. What is sometimes referred to as goodwill or brand equity is, in fact, the trust and reputation that are the product of dependability. 

Universalism.

These characteristics and traits of entrepreneurs are true the world over, whatever the local history or norms or culture or institutional framework. Entrepreneurs treat everyone as a customer, and therefore they grant them the same high status, whatever physical differences there may be.

In fact, entrepreneurship itself is an institution – a set of shared global norms about value and production and trust and interactive collaboration. Entrepreneurship is a unifying code of conduct, a binding pact between producers to strive for the best way to serve customers, and among customers to collaborate in the co-creation of value by demanding the best from every producer. 

Dr. Caldwell’s insight is that all the world’s entrepreneurs share citizenship through this institution. There is no division. All entrepreneurs are striving toward the same goals, but there is no animosity in the rivalry to serve customers in the best way. There is shared learning, since outcomes are freely observable for all to analyze and interpret. There is innovation that enables one producer to leap ahead, but only temporarily until the next response shuffles the leaderboard while raising everyone’s capacity. The dynamics of entrepreneurship result from the shared energy, the shared desire for continuous improvement.

Let’s celebrate this citizenry of the world, and repress the politicians’ desire to divide us. Their incentives are not entrepreneurial, and we should isolate them in their arena of hate while the rest of us join and support EZones as a worldwide movement to nurture and cultivate the shared human values and unlimited collaborative potential of entrepreneurship.

106. Mauricio Miller: Entrepreneurship as the Path Upwards From Anywhere, for Anyone

Entrepreneurship is the best pathway for all people out of unsatisfactory economic circumstances.

Mauricio Miller, who arrived in the US as a poor immigrant from Mexico, and who also experienced living in some of America’s worst neighborhoods, spent over 20 years running social services for people growing up and living like he did. His conclusion: social services are the worst policy for such people. It is entrepreneurship that will open up the pathway out of the neighborhoods and out of the traps of low income and limited prospects. Entrepreneurship lifts up individuals, families, and communities.

Key Takeaways & Actionable Insights

Job creation programs are not the answer. In the US, people can get jobs, but they are often on a dead-end track that doesn’t generate learning or leverage-able experience — waiter, assistant, security guard, etc. Outside the US, even these jobs might not be available. Often, people with these jobs are entrepreneurs “on the side”, exchanging in the informal economy. This is just another indicator how important entrepreneurship is to upgrading people in low-income situations.

Entrepreneurship is inherent in people.

Is entrepreneurship hard? Is it too daunting for some? Does it require skills that only special people possess? Absolutely not. People have the capacity, the capability and the creativity. They are typically smart and determined. The requirement is simply to let that come out — to remove the constraints. Entrepreneurship is already inherently there.

Furthermore, people are motivated for entrepreneurship. Everyone has a particular talent, or at least their own interests, and they always perform better when they’re working on what interests them. And people want to run their own life, and make their own decisions.

Release the constraints.

The constraints that face them trace to being stereotyped and labeled, and these are barriers to credibility. Reduced credibility makes it hard to institute relationships, establish partnerships, to get loan financing, and generally to build the network support and capital required to advance their businesses. Mauricio says that if we don’t label them, and simply let talent and commitment shine through, all kinds of people can demonstrate entrepreneurial potential and achievement.

Entrepreneurial achievement and success will emerge when people are unconstrained.

How does the entrepreneurial movement get started? Naturally, and without intervention. In any community, there will be one or more individuals who become “leading lights” in the sense of trying something unusual or unprecedented, and succeeding. The definition in sociology and innovation diffusion theory is “positive deviants” — those who deviate from the norm or from history with a successful outcome. Leading lights is a better term.

The leading lights are followed by early adopters, who see a strategy that is successful and copy it or follow it. Then comes community support, which Mauricio characterizes as mutuality — everyone in the community eager to help anyone who can demonstrate success.

In his book The Alternative, Mauricio tells the story of Ted Ngoy, a Cambodian immigrant to the Los Angeles area of California who got a job at Winchell’s donut chain. He quickly absorbed the techniques of donut making and decided to open his own shop. Members of the community pooled savings to provide equity capital to buy equipment. The single store became successful and Ted opened more. The mutuality of the neighborhood was activated and neighbors became delivery drivers and ingredient wholesalers and came together as a supply chain and value creation network.

The word spread across California and Cambodian immigrants in San Francisco and elsewhere started reproducing Ngoy’s strategy. In a more general sense, the learning is: people, whoever they are, can start and run a business and make some money and become independent.

A new mindset: No plan, no policy, no structure, no institutionalization.

Mauricio’s key insight is that any intervention by government or charities or social services that aims to provide a plan or a process or a structure or to configure institutionalized support is not only not needed, it is destructive. It distorts and undermines the natural human motivations and drives that people draw on in entrepreneurship. The opposite approach — or no approach — is the best. Honor the natural preference of communities for self-help and sharing — mutuality as Mauricio has named it — and let them discover the pathways for themselves, find the knowledge, pool the savings, get access to the technology, use their network to connect to the needed skills.

Entrepreneurship is catching.

Once the bright lights shine, once the positive deviants emerge, once the early adopters find follow-on success, once the natural mutuality builds the supply chain and the support network, no intervention or encouragement or policy is required. Stand back and admire.

Additional Resources

The Alternative: Most of What You Believe About Poverty Is Wrong by Mauricio Miller: Buy it on Amazon

Family Independence Initiative: FII.org

Community Independence Initiative: CIIAlternative.org

Mutuality Platform: Click Here

The Austrian Business Model (video): https://e4epod.com/model

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