This is a nice angle on bootstrapping Social Capital [1]. There's been much ink spilt on the "decline of social capital" in the developed world in the last few decades [e.g. 2].
One interesting implication of all this is that we seem increasingly complacent with depending on private companies and social welfare to fill in the gaps that were previously filled by our "village", so to speak.
In a densely-connected network with lots of social capital, many companies/programs don't make much sense. The company might be able to provide the service (food prep/delivery, laundry, transportation, home maintenance, health care services) more "efficiently" and at less "cost", but they carry an opportunity cost of failing to accrue of social capital.
From that lens, you can view these companies as a kind of tax on social capital. They accrue wealth at the expense of our networks. And we rejoice, because we save a marginal 10 cents on the dollar, which we reinvest in equity of the same companies that tax our social capital.
I don't intend to apply any morals or draw any conclusions, it's just a thought-provoking way of looking at startups, these days, this theme of "profiting from the eroding fabric of american society".
One interesting implication of all this is that we seem increasingly complacent with depending on private companies and social welfare to fill in the gaps that were previously filled by our "village", so to speak.
In a densely-connected network with lots of social capital, many companies/programs don't make much sense. The company might be able to provide the service (food prep/delivery, laundry, transportation, home maintenance, health care services) more "efficiently" and at less "cost", but they carry an opportunity cost of failing to accrue of social capital.
From that lens, you can view these companies as a kind of tax on social capital. They accrue wealth at the expense of our networks. And we rejoice, because we save a marginal 10 cents on the dollar, which we reinvest in equity of the same companies that tax our social capital.
I don't intend to apply any morals or draw any conclusions, it's just a thought-provoking way of looking at startups, these days, this theme of "profiting from the eroding fabric of american society".
[1]: https://en.wikipedia.org/wiki/Social_capital
[2]: https://en.wikipedia.org/wiki/Bowling_Alone