Social Value and Money. I have been conducting some very interesting research into modern theories of social contract, exchange and value. One key idea is: we only get paid in direct proportion to the social value we contribute. That is, if we as individuals or our businesses or other institutions provide immense value back to the community or to our clients or customers, then we are likely to be more successful financially and otherwise, especially in the long term. For example, if a bank looks to assist a family to pay for their family home; if they look to help a new business grow by providing initial seed capital, or if they look to help a teenager save for her first car, and if these situations are put first, then that bank is likely to be more successful in the long term. On the other hand, if it puts its own interests first ahead of the customers it is meant to be serving, then long term success may be uncertain. There is increasing empirical evidence supporting this idea, and the rise of technology and stronger consumer laws are now beginning to compel organisations to put consumers first again. That is, look to provide social value first, not money. When this is done, then the market will facilitate an exchange, including the flow of money and sometimes more important intangibles, including long term customer loyalty. Social value is akin to ancient principles of ‘service’ or contribution. Henry Ford in his classic book ‘My Life and Work’ (1922) reminds us of these principles when he says: “The producer depends for his prosperity upon serving the people.”. Special note: this book is available as a free eBook from Project Gutenberg: gutenberg.org/ . Kind regards Lee M. Spano, Creatness CEO creatness
Posted on: Tue, 27 Aug 2013 23:15:55 +0000