Passion economy and the future of the business world

Padma Subramanian

Over the past year as many of my fellow economics enthusiasts, I have been analyzing and researching about the various internet era economic models including the gig economy, passion economy and circular economy. For those who would like to learn more about these models I would urge you to listen the talks and book by Adam Davidson, the videos with Li Jin, Professor Paul Oyer on the gig economy and many other videos and podcasts available on the internet
What is interesting to me is the influence of these models on
a. Future of work
b. Future of enterprises and
c. The global impact
Let us consider the following examples (not using real names)
1. Pam is a cybersecurity expert and has more than 20 years of experience. She is passionate about topics such as risk, security and governance. She was once building up her career in large organizations moving up the corporate ladder. However, deciding to chart her own path, she began working with many companies across the globe on advisory gigs. Being passionate about her work makes her a passion economy participant.
2. Ridhima is a traditional bridal gown designer in Nepal. Her “lehnga cholis” or traditional bridal gowns are well admired and loved by people all over the world. She has customers who call her from places like even the US and UK and get her to design their bridal gowns. She is passionate about her craft and grateful for being able to sustain through and grow her art form
3. Finally let us look at something that I grew up experiencing – the Indian Jugaad. Jugaad is an Indian word for innovation with limited resources and mostly associated with innovators or creators in the middle or lower economic classes. There are many examples of people using resources they have handy to create useful solutions that have economic value. For example, some of the roti makers (Bread makers), solar powered appliances and so on Pam and Ridhima are two quite different participants of the passion economy. However today the way they reach their customers is remarkably similar. Word of mouth and one success leading to more referrals and so on. However, I feel confident that the internet community of entrepreneurs will find ways to build a platform to connect these innovators and creators with their customers in a much more scaled manner.
But let us take a moment to think of the outcomes
What will happen when we “cross the chasm” with these platforms? Will we see more creators becoming free agents?
Let us assume that the business model in these interactions are designed to pay for performance. Will this result in shrinking of organizational models to core business requirements? Or will it be more dramatic and involve a just in time stitching of these “individual businesses” to deliver a complete business solution? Now throw in the already connected world – providers coming together with each other across the globe to serve consumers anywhere in the world. Granted this seems far fetched from where we are today but they are not completely implausible either.

Over the next few blogs I would like to start a discussion around some use cases and finally bring forth the solution that we at Fyrii are building to address some of these. Stay tuned and in fact join the discussion if you see the groundswell as much as I do or even if you do not.