Archive for November 20th, 2019

What startups can learn from flea markets about competition, customers?

November 20, 2019

Nice piece by Utkarsh Amitabh founder of Network Capital in Mint.

Some things books can never teach. I was reminded of this valuable lesson during a recent visit to Dubai’s Global Village. Designed like a flea market, the village brings together sellers and merchants from 90 countries. During the three hours I spent walking around, manufacturers and artisans tried to sell me everything under the sun—from Yemeni honey and Egyptian perfumes to Bosnian kebabs and Irani rugs.

I was amazed by their negotiation skills and sales techniques. Without any business training, these artisans had mastered storytelling and learnt the art of connecting with customers of different age groups and cultures. The more time I spent interacting with the artisans/entrepreneurs, the more I realized that startups can learn valuable lessons from flea markets.

The first thought that crossed my mind was finding talent. I wondered: What if these artisans were to sell software products instead of soaps and oils? What if startups were to hire them as frontline salespeople or customer success managers?

Takeways: Selling skills, cost efficiency, knowing your customers.

Not just start-ups but we all students of economics have so much to learn from the so called flea markets. You see so much of economics happening live…

Economic warfare: Insights from Mançur Olson

November 20, 2019
Mark Harrison of University of Warwick in this piece:
Economic warfare was widely used in WWII. When one country blockaded another’s supply of essential goods or bombed the industries producing them, why did the adversary’s economy fail to collapse? This column, part of the Vox debate on the economics of WWII, reviews Mançur Olson’s insights, which arose from the elementary economic concept of substitution. He concluded that there are no essential goods; there are only essential uses, which can generally be supplied in many ways.

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