Category: collaborative consumption

The Value of Generosity

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Very often, we find ourselves at the short end of the stick in a deal, bargain, or enterprise, or even simple transactions in our daily lives.

Sometimes, we feel cheated of our rightful estates, possessions, holdings, or value in a transaction.

That’s not a very pleasant feeling is it? Sometimes, it feels like we get less than what we deserve, and what little we have should be kept, guarded well, and hoarded if it seems, and only shared sparingly.

Is there someone to blame for this mindset and culture? Some people argue that it is only human nature to seek an advantage to gain it over others. Some even go so far to say that selfishness, is a trait that is common in the well to do, the rich, the disciplined, and the fiscally prudent. Some also call it fiscal discipline.

Well, it may be one of these things, and it may be all of these things, but let’s not forget that correlation does not mean causation. In essence, just because you’re rich, means you’re selfish, and just because you’re selfish, means you’re more likely to be rich.

Good news? Hardly. But let’s take a look at the other camp shall we.

Giving and generosity have been equated (mostly) with being a good person or individual, and is usually associated with charity, is it not? But what if I told you – it’s not always the case, and that perhaps, giving and generosity is not just good for character building and the soul, but also for your own gain too?

The sharing economy, the barter economy, and communities who actively promote trust and generosity amongst its members are active members and examples of this hypothesis.

In barter economies, goods are exchanged for each other. However, in many transactions, you can’t exactly rely on the exact value of goods exchanged to form a fair transaction, as you can’t split the goods to give out the remaining amount of value. For example, you need 3 pots and you have a cow to trade it for, and it’s a milk cow so slaughtering it to split its meat up is not fiscally prudent.

Generosity

Your neighbour has three pots. Now, you want to trade the cow for the three pots, but the cow is worth at least twenty times the pots. You have nothing else to trade with, so you can either record the transaction as a loss, or a debt owed to you by your neighbour in the form of pots.

That would be odd, especially if everyone kept a tally in different forms measuring values indebted via various commodities like pots, which is also the reason money was invented, but we’ll get to that later.

So, what you could do, is be generous and take the pots, give the cow to your neighbour, who then feels indebted to you with gratitude, making it easier for the both of you to work together and help each other in other business or industrial activities anyway.

Generosity – in itself, is also a sign that the giver is able and wealthy enough to give. Basically, the giver becomes a patron. But practiced within a community, it encourages trust.

If there is a doubt that generosity itself is not a natural trait, here’s proof that it is.

In evolutionary survival – the best and most robust methods are the ones which involve generosity and co-operation.

Researchers Alexander J. Stewart and Joshua B. Plotkin from Pennsylvania’s Department of Biology in the School of Arts and Sciences, examined the outcome of the Prisoner’s Dilemma when played repeatedly by a large, evolving group of players.

While other researchers have previously suggested that being cooperative can be successful, Stewart and Plotkin offer ‘mathematical proof’ that the only strategies that succeed in the long term are generous ones.

In this version of the Prisoner’s Dilemma, only successful players would be allowed to proceed on to the next round, but with one caveat! The players who won would get to have more “offspring”, meaning that they would be able to have more players representing them in the next game.

It should also be noted that they were able to communicate and teach their “offspring” on their strategies.

Over the course of the experiment, the only strategies that survived were the ones that not only relied on co-operation alone, but also involved generosity and forgiveness on the part of the players involved.

In comparison, the other strategy that a player can employ is an extortion strategy, basically, to take short term gain, by using the current situation for personal gain at the expense of other players. Sounds familiar?

Well – employing this strategy allows for the best possible immediate outcome; but in the long run, affects the entire group, as the selfishness is reciprocated, and in the end, no one truly gains the most.

So, instead of a head-to-head competition, the researchers applied this to a group of people playing against one another(compared to a prisoner’s dilemma where it is 1-1), to realistically simulate communities and groups of people.

During the research, it was found that these extortion strategies don’t work well if played within a larger group of people who interact with each other, and not just between two people, because an extortion strategy doesn’t succeed when played against itself.

However. in generous strategies, players tend to cooperate with their opponents more, and are generous in their aid; and they also tend to forgive players who are selfish over time, as compared to excluding them completely. E.g, you help me, and I’ll help you, and we both win.

Using tests on how some generous strategies would work in a community of people, the researchers crafted a mathematical formula proving that, not only can generous strategies work best in this version of the Prisoner’s Dilemma, but also that these are the only strategies that resist individual selfish people in the test group and continue to endure.

These findings were reported in the PNAS journal.

In short – generosity is not a zero sum game.

Giving doesn’t mean you lose out – it only means you build relationships within group of people where all of you prosper more by working together, compared to your chances of prospering if you were to be selfish and look out only for yourself.

Isn’t it only natural that a sharing app like ours is an extension of human nature to share and be generous then instead of just looking out for yourself?

 

Library of Things

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As we head into the new future of consumerism and increased personal gain, are there any places in our communities, lives and homes that we can share? A place where one can lend, borrow, and trust in the goodwill of the neighbour and community to repay in kind with trust and goodwill too?
Well, you’ll be happy to know that places like these are more common than you think.

If you look closely, these places are not just publicly owned in name, but also in deed, meaning to say, some are community run and funded, while others are government funded, but the community usually decides on how to run the organization, what to lend and how.

You see, the key lynchpin to making a library of things, as we call them, is trust. Trust in the community you live in, as well as in the stewards of the library. let us share with you three delightful examples we have found.

ThingsThe public book libraries of Sacramento

The public book library of Sacramento, is a government funded library that actually functions as both a library for books, and a library for things.

The part of the Sacramento Public Library that loans out items is similar to how it loans out books. A member of the library needs to fill out a form to loan the ‘thing’ as they call it, and they can then be loaned out the lender for up to 3 weeks. If that period is not long enough – it can be borrowed up to 6 times, in which case, the need for the item should have passed.

This library chooses what items will be available to the public by how portable the item is, how valuable it is, as well as the number of votes from valid members as to the items that they want.

The items are then either donated, or bought using state money for this public programme to be available for loaning out, or to be used.

A small list of the items available : Board games, Video games, Sewing Machines, 3D printers, button maker, laminators, screen printers, musical instruments, GoPro cameras, a serger for professional stitching, and a bike repair station.

They have a full online catalogue of items available, some items can be used in the library only, such as the bike repair station, the 3D printer, as well as the Serger. For the reasons that they are higher in value and harder to operate and set up, these are kept at the library.

The Library of Things is located at Arcade Library at 2443 Marconi Ave. in Sacramento.

The Library of Things in Berlin

Berlin! Such a place with rich history, always breaking down barriers between people, and they’re doing it again, with the Laila Project, which is a library of things in the purest sense.

The Laila project is staffed by a volunteer who goes by Mr Nikolai Wolfert, who is a volunteer there.

If you ever wonder what the motivations were behind his store, he says “The average electric drill is used for 13 minutes in its entire lifetime – how does it make sense to buy something like that? It’s much more efficient to share it”.

That’s typical German efficiency for you! But apart from that, take a look at Leila on a deeper scale, and you’ll find that he’s actually a member of the Green party, and after they lost their local elections, he decided that he could do something for his community based off his political beliefs for the good of the community.

Thus, the Laila project was born. The Laila project is similar to other library of things – items get loaned out, and items are donated in, and to be part of the project to access items, you need to first donate something. The items range from useful, to quirky – drills to unicycles.

Mr Nikolai emphasises that it isn’t just about charity – it’s about efficiency, for more people, to use less. That’s the way to go isn’t it?

Library of Things in the UK

The Library of Things in the UK  started in West Norwood, South London in 2014, when friends Emma, James and Bex ran a pilot scheme in a library after visiting a borrowing shop in Berlin.

Similar to the project run by the Sacramento Public Library, the initial project by friends Emma, James and Bex met with success and an overwhelmingly positive response from the community, not just as a means of resource sharing and distribution, but also as a means of community bonding, interaction, and learning. Simply put – you can borrow a circular saw, but first you’ll have to learn how to use it from someone who does?

After that, they decided to pitch the idea to the general public online for funding via Kickstarter, and have raised £15,000 for this new library from 248 people.

They aim to set up a new library of things with these funds in South London, as well as making a toolkit to help others start their own library of things.

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Do you know of other initiatives on Library of Things? Have you been thinking about starting one in your community? Comment below or contact us: hello{at}lendogram{dot}com.

 

 

Communities Matter

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The estates and flat complexes of 1980’s Ireland, although often facing social problems and poverty in their own right, were also thriving, vibrant and convivial places to grow up. Children would roam the streets and play outdoors together, mothers would chat over back-yard walls while hanging out the washed clothes, and front doors were rarely closed or locked.

There was an intimacy and connection amidst it all that lent itself to a sense of place and community. It wasn’t idyllic of course, and many welcomed the opportunities economic growth brought – a chance to get work outside of the community, to earn higher wages, to get a university education, to move out to more upmarket neighbourhoods, to travel or move abroad.

However with that growth and social mobility, there was also an erosion of the bonds that tied people together in the places where they lived. In some suburban areas of Dublin, with people working long hours, facing long commutes and turning to more individual free-time activities it became common for people to barely know or interact with their neighbours and to feel less connected to the physical space they lived in. People were more likely to spend their free time in their high-spec newly purchased homes, than in the local park. Perceptions of safety changed, and children played less often outside with their peers. Hedges grew higher, doors were locked and supermarkets replaced the local grocer, butcher and bakers.

The shift in economic circumstances has brought with it a realignment of values in some communities

Fast forward to Ireland today, and something exciting is happening around community. Without undermining the harsh reality of increased unemployment for many families, the shift in economic circumstances has also brought with it a realignment of values in some communities across the country. People are feeling a need to look outwards, connect with those around them, and create opportunities for sharing, supporting one another and igniting initiatives that sustain local economies and make the places we live more enjoyable places to be. More people are attracted to networks and platforms that allow communities to pool and share resources, and in doing so build greater bonds of trust.

Cloughjordan Ecovillage is a registered educational charity and an internationally recognized destination for learning about sustainable living.

Residents regularly come together for pot-luck meals in people’s homes, and the village-wide email list acts as a means to communicate and share open invitations to parties, celebrations and events organised by individuals

Nowhere is this more prevalent than in the rural Irish community of Cloughjordan, Co Tipperary. A small village in the midlands, with a strong sense of community in its own right, it has in recent years become the location of Ireland’s only eco village project. The project, essentially a neighbourhood off the main street of the existing village, has inspired and contributed to a thriving, vibrant and interconnected community life. The design of the development itself encouraged a sense of sharing – homes are built without separate gardens for the most part, and the recreational space is instead a commonly owned and accessible plot of the overall land. There is a Community Supported Agriculture (CSA) farm on the site, to which members contribute monthly sharing the produce and the risk. Freshly harvested vegetables are collected by members three times a week with an understanding that you take what you need, while being mindful of the needs of others. An arts collective has animated an empty property, offering accommodation, catering facilities and craft equipment for people to create, host and organise pop-up food and arts events. Residents regularly come together for pot-luck meals in people’s homes, and the village-wide email list acts as a means to communicate and share open invitations to parties, celebrations and events organised by individuals. It is this atmosphere and approach to collectively meeting the needs of individuals in the community that has made it such a great place to live, demonstrated by the fact that the community was listed as a runner-up in the Irish Times Best Places to Live as well as winning the LivCom International Award for most liveable communities.

The erosion of the fabric of community is not of course isolated to Ireland. Worldwide, particularly in urban environments, residents struggle to create a sense of connection and common belonging in the places they live. Great examples are emerging however, of how the sharing economy can enhance this sense of connection and place. Berlin, Germany demonstrates how the sharing economy can become part of the fabric of a city and its many suburbs. In the Prinzessinnengärten in the Kreuzberg area, a derelict site has been transformed into a space where members can harvest their own fresh vegetables, educational events take place, and there is a social space with a café and bar (selling non-profit beer of course!). Not too far down the road, the wonderful Weltkuche provides jobs and training for migrant women, and raises funds by selling delicious ethnic food to the public. On Fehrbelliner Strasse in the North East of the city, the first borrwing shop has kicked off a trend across the country, creating opportunities for people to borrow from a library of household items, rather than purchase the items individually.

The efficiency, enjoyment and ease with which communities and individuals are moving into this new way of transacting speaks volumes

In Australia, cities such as Sydney, Melbourne and Brisbane are at the forefront of new ripples in the sharing economy. The oft-referenced AirBnB and Uber examples aside, people are matching unused bikes, empty driveways, empty sheds, excess clothing and cars with those who need them. The Secondbite project, established by a Melbourne couple has had great success in sourcing waste food, to provide nutritious catered food to community groups at reduced costs. The Welcome Dinner Project, is an excellent example of trust being built in the face of fears around new arrivals from the Middle East, organising shared meals in people’s homes for new arrivals and established Australians, transforming attitudes and forging friendships in the process.

It seems the core of these initiatives is the connection between people involved. For the most part, the efficiency, enjoyment and ease with which communities and individuals are moving into this new way of transacting speaks volumes, and sees increasingly more initiatives and projects emerging that connect resources and needs in ways that transcend traditional monetary exchanges. Advocates claim it is recreating the personal human interactions and connections that our modern economic model has eroded.

 

The Culture of Collaborative Consumption

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Ever wonder what collaborative consumption has in common with students living together in college apartments, the hospitality and tourism industry, and New York cabbies?

And when we think of collaborative consumption, what do we think of?

 

We usually think of AirBnB and the like. These businesses do promote collaborative consumption, but to a smaller degree.

When AirBnB first started, it had a lot in common with college students sharing an apartment. One concept of AirBnB was to share the cost of living in an apartment with other people for a fraction of the price that it took to rent out a hotel room. On top of that – it was a more authentic experience for the person renting out the house/room since it was someone else’s home. Since then AirBnB has grown to become a global marketplace and a platform for landlords as well.

Today, college students still share and collaboratively consume services such as accommodation facilities in colleges, thereby lowering costs for each individual student, as compared to if a student had to rent out a whole apartment on their own by themselves.

In major cities like Tokyo, Singapore, and New York, car-sharing services and platforms have popped up as an answer to increasingly prohibitive costs to owning a car. Why cars? Because cabs are expensive, and sometimes, cars are more convenient when you need to go to a more isolated area.

Some carpool  services gain revenue from advertising, and others, charge a membership fee. However, most just share the cost of the travel plus a fee, and increase the efficiency of the transport system as a whole by reducing the number of vehicles on the road, as well as lowering pollution at the same time.

That is another key factor that we often overlook when considering as to why collaborative consumption is great for the public good as well as the consumer – lowered pollution is a key indicator of economic progress and prosperity.

Lowered pollution, which is also in line with less wastage, means more efficiency and productivity in a workforce and economy, which also means more profits and higher standards of living for everyone.

Consider this example – if everyone had a car that could seat 5 people and drove to work everyday, but only one person drove a car, would that not clog the roads and produce lots of smog? On top of that – the stress of being stuck in a traffic jam would piss everyone off so bad, that when they got to work, nothing is actually going to get done! But hey! Everyone has a nice 5 seater SUV!

Now consider the collaborative consumption alternative – public transport and car-sharing or ride-sharing in effect. Less smog from less vehicles on the road, a really smooth journey without jams. Sure, everyone might have to walk a bit when reaching their workplaces since the driver can’t drive up to everyone’s office doorstep, but the amount of time it takes to walk will be drastically lesser than the time spent and frustration gained from waiting in a traffic jam won’t it!

This is a prime example of how collaborative consumption can lower costs for us in our daily lives, it doesn’t need to be a complex model of sharing and collaboration, and can be beneficial to all parties involved.

Now, that’s an example for services. The collaborative consumption model has ‘traditionally’ worked for services rather than goods, since it’s harder to implement, but it has worked and is possible.

A prime example is used goods exchange platforms. Simply put, it is a place, or medium like a website where people go to buy, sell, resell, and most commonly – exchange the goods that they need with each other.

This is Collaborative Consumption too! People recycling their items, upcycling, by refurbishing them and then exchanging them for more value, as well as repairing, and then exchanging them for what they need!

Of course, this is lessened in our day and age, with our culture of consumerism and cheap goods, since it makes it easier to buy something way cheaper, and new, instead of going through the whole process of finding someone to exchange your item with, or giving it to someone who needs it more.

But wait! What if you considered this model of collaborative consumption instead? How would that benefit you?

Simply put – when you practice a culture of collaborative consumption, you create less waste since buying something much cheaper that breaks much faster will make more waste (and cost you more in the long term).

On top of that – when you practice a culture of collaborative consumption, you create a network of links that allow you to access more stuff than you would originally have, compared to if you had just gone to the store to replace your item.

These networks you build will also make it easier (and cheaper) to repair, replace, and find things you not only need, but want.

Everyone makes vintage fans these days, but are they really vintage? You actually find a vintage fan, but it’s broken, and here’s where the friends and people you meet while collaboratively consuming goods come in to help – there’s bound to be a tinkerer who can help you repair and refurbish the fan to working order.

Now, with the advent of the internet, you don’t have to limit yourself to your town – you can collaborate with people beyond your horizons, while consuming goods and services responsibly.