Activist Bringing About Change Through Disruption (Social and Economic)

I am posting on this subject here before dealing with it over at my other blog Milestones for a New Millennium. This blog allows me far more philosophical latitude, making it more of a learning tool for me, and I am still exploring these concepts.

The question is whether it is possible to create economically sustainable enterprises that help the billion at the bottom of the economic ladder in a uber-consumer world? It seems obvious that efforts to break into a market will require innovation, but are the cards so stacked that such efforts are hopeless, especially in fields such as Healthcare? After watching this talk by Clayton Christensen, I am going to say no, that a sustainable social-entrepreneurial model is very viable.

• MIT World » : The Innovator's Prescription: A Disruptive Solution to the Healthcare Crisis

  diigo tags: MIT, engineering, systems design, healthcare, management

  • Christensen distinguishes between the kind of sustained and incremental technological improvements that help a market leader retain its edge, and “disruptive technology,” where a simple and affordable idea takes root in “an undemanding application at the bottom of the market, then improves from that foothold.” Christensen, looking at lots of industries “found almost invariably that an entrant company came in and killed the leaders” by way of a simplifying technology.
    

To my mind, this is closely tied with the the concept of creative-destruction. I don't, taking counsel from Robert Solow, see its founding proponent, Joseph Schumpeter as the savior of 21st century economics as some do, and especially not of activists seeking change through social enterprise,.

Which brings us to the "democracy" in Schumpeter's title. He was not a democrat by instinct or by reflection. He had little confidence in the ability of the average citizen to vote intelligently...

At the same time Solow saw that Schumpeter realized that:

Anyone can invent a new product or a new technique of production. The entrepreneur is the one who first sees its economic viability, bucks the odds, fights or worms his way into the market, and eventually wins or loses. Each win means profit for the entrepreneur and his backers, and it also means a jog upward for the whole economy. In the course of this process, which cannot possibly run smoothly, many businesses, individuals, and institutions, themselves founded on earlier successful innovations, will be undermined and swept away. Schumpeter called this birth-and-death process "creative destruction," and realized before anyone else that it was the main source of economic growth.

Creative-destruction is still a useful means, more descriptive than prescriptive, of looking at the world. The disagreement is with what actions we take with that knowledge. What disruptive innovations allow social-entrepreneurs is a means of striving in the world without having to beat the leading-edge of established corporations.

Other posts on creative-destruction
Creative-Destruction, Entrepreneurship And Innovation
The Awards And Risks of Innovation: Embracing Destruction And Creation
Consumerville USA Versus Creatorville USA

We Are All Getting Digital - Old Rocker Shows the Way

| New York Times August 10, 2008 An Old Rocker Gets Digital By FRED GOODMAN

Peter Gabriel, the rock musician, has become a powerful player in the emerging online music industry by helping artists find new ways to market their music on the Web.

This has been sitting in my draft bin for about a week. Going digital is not really breaking news, it is an on going transformation. I am pleased that it is an Old Rocker leading the transformation.

This has been an off and on topic for this blog for sometime. What is of interest is the transforming of older paradigms defining mass media industries, such as music, into newer paradigms. The transformation has impact on individual artists and businesses, but it also has broader impact on how we define ourselves in terms of community. It also makes for an interesting model as to how endeavors that are more social in nature can survive in an environment which is more business, the combining of artistic freedom with the creation of an economically sustainable enterprise.

Past posts on this subject
The Power of Many! Music For All?
Troubadour Troubles - Economic, Legal, Moral? You Pick
Confusing Means and Ends and the Pathways Between Them

The Musician As Businessperson The Entrepreneur as Artisan

Challenging the next generation (and this one) to get serious - Tech guru Tim O'Reilly again points the way.

Tim O'Reilly is one of the main pillars of this blog's beginning. I am, admittedly, still on the periphery of the techno-world. Before starting this blog, the Firefox browser's bookmark button was about as adventurous as I got in the Web 2.0 world. I was also far more aware of Thomas Kuhn's Structure of Scientific Revolutions, as a former psychology major, than I was of any technological revolutions going on the Internet.

However, when I decided to use the Internet to explore Paradigm Shifts, it was inevitable that Tim O'Reilly's - Open Source Paradigm Shift would be at the top of the pile. O'Reilly's ideas on processes and organizational relationships, though focused on computer technology, still appealed to my organizational psychology perspective. My interest in exploring what Web 2.0 offered in regards to tools for gathering, organizing, communicating and applying knowledge was enhanced. That started a process that led me to create Milestones for a New Millennium.

Now my quest has discovered dozens of different ways to be make positive contributions to the world using the Internet, as well as discovering numerous sources of interesting and educational material. Yet, I am still encouraged when I read today in the Los Angeles Times a story by Los Angeles Times Staff Writer Jessica Guynn that Tech guru Tim O'Reilly challenges next generation to get serious.

SAN FRANCISCO - ; Silicon Valley insiders call it the O'Reilly Radar: Tim O'Reilly's uncanny ability to spot a technology revolution before it happens. But lately the entrepreneur, investor and book publisher has been busier trying to incite the next one.

The entrepreneur, investor and book publisher urges young entrepreneurs and engineers to stop making silly software and start making a real difference in the world.

What I appreciated in the article was Tim O'Reilly's perspective ... that Silicon Valley has strayed from the passion and idealism that fuel innovation to instead follow what he calls the "mad pursuit of the buck with stupider and stupider ideas."

Flush with money and opportunity following the post-dot-com resurgence, he says, some entrepreneurs have cocooned in a "reality bubble," insulated from poverty, disease, global warming and other problems that are gripping the planet. He argues that they should follow the model of some of the world's most successful technology companies, including Google Inc. and Microsoft Corp., which sprang from their founders' efforts to "work on stuff that matters."

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