danah boyd is a Principal Researcher at Microsoft Research, a Research Assistant Professor in Media, Culture, and Communication at New York University, a fellow at the Berkman Center, and director of the Data and Society Institute. danah has been working on the issues associated with “It’s Complicated” for many years. 10 years ago, Ethan and danah were two of the youngest people at a conference. danah told him, “I only have one secret to get through these events. I tell them what their children are doing.” Telling people what their children are doing online is incredibly valuable, either because we’re parents who care about our children, or because we care about the future of the Internet. danah has been relentless over the last decade in trying to make it clear that simple snap answers about the Internet (good, bad, dangerous, amazing) are utterly and totally inadequate. What we need to do is to take a long, careful look at the context that underlies people’s behaviours online. We’re in a moment where the easiest thing to do is to say “it’s simple.” danah has put forward a book that says “it’s complicated.”
Today is the official publication of the book and danah tells us that she wanted to spend the day with friends. (Her day began, mediawise, with a celebratory story on NPR, ”Online, Researcher Says, Teens Do What They’ve Always Done”) She’s been affiliated with the Berkman Center, in one context or another, for fifteen years. Rather than lecture about the book, she wants to provide some context on her thinking, then take questions.
danah explains that she was part of the first generation to grow up online, and that the internet was her “saving grace”. Her brother tied up the phone lines with strange modem squeals, and he showed her that the internet was made of people. Once she’d made that discovery, the phone line wasn’t safe after her mother went to bed. The first $700 phone bill ended that, but introduced danah to the wider world of phone phreaking and misbehavior to ensure she had access to outline spaces.
She went to school in computer science to explore the space, but didn’t really find her direction until she came to grad school and was able to study social media. She began a blog in 1998, and has been participating in and working on social media since then. Working with Judith Donath in 2002, she was invited to join Friendster a year before the network became prominent and widely used (see this paper on Friendster).
The early adopters of Friendster were geeks, freaks and queers, danah tells us, and those groups are the early adopters of most new technology platforms. As someone who identifies with all those groups, danah tells us that she had a front-row seat for Friendster’s successes and missteps, and was often able to interrogate the platform’s founder about his decisions. She moved to studying MySpace, and benefitted from the shift of youth to that platform, allowing her to watch the rise and fall of two major social media platforms (see danah’s research on Friendster and MySpace and this paper on Why Youth (Heart) Social Network Sites)
danah tells us that MySpace was based on Cold Fusion, a now-antiquated database programming language, and that the vulnerabilities of the site led her to novel research methods. User IDs were assigned sequentially, and she was able to sample users by choosing a random subset of IDs. But as her research developed, it became less easy to randomly approach youth online, so danah shifted her research methods to working offline, traveling around the United States to meet the young users of these platforms. (The major problem with interviewing 166 teenagers was dietary – it involved a lot of cafeteria lunches and a lot of McDonalds.)
Her research on teens informed her doctoral dissertation, and once she’d completed it, she felt a need to discuss the same issues with a broader audience. The book is organized around myths associated with youth and online media: the idea that youth are digital natives, that online spaces are heavily sexualized, and that online spaces are dangerous to youth.
Her overall takeaway from this research: we have spent thirty years restricting the ability of youth to get together face to face in the physical world. These technologies give youth access to public life once again and to make meaning of the world around them. Youth want to gather and socialize with their friends and become part of public life. Many youth would rather get together in real life, but turn to online spaces because those are the only spaces where young people can interact with one another in public life.
“There’s so much learning, so much opportunity through being part of public life”, says danah. We need to accept the idea that these online spaces are the key public spaces for young people.
Dorothy Zinberg asks about cycles – the decline of Friendster and MySpace – is Facebook now declining? And how do we expect these youth to change over the next decade?
danah notes that ten years ago, email was something people were excited about – “You’ve got mail” was a popular ringtone. Now, we open email with apprehension and worry. And that’s how teens are now approaching Facebook. Teens are not running from it, but it’s no longer the “passion play” – instead, it’s a place to connect with adults in your life. Who wants to spend their time hanging out with adults? The idea of a single platform to rule them all will look like a historical anomaly. It’s more natural to see fragmentation, a wealth of platforms that people use for different reasons and in different contexts. There are messaging, photo and videosharing services, all of which have emerged as new spaces for youth. We’re also seeing the emergence of interest-driven spaces like Tumblr or Twitter, which make it possible to geek out on fashion or music. There are also media for different communities – people obsessed with media are fascinated with Secret, which looks more like ChatRoulette in terms of speed. Young people, depending on their interests and passions, are moving across different services with texting as the single common denominator. danah notes that texting behavior in the US is anomalous, as we are one of the few countries where you pay to send and receive texts – there’s nothing more socially awkward than sending someone a message and making them pay for it.
As far as where youth usage is going: it’s moving to mobile. Mobile is an intimacy device. In response to discussions over safety, computers are now used in shared spaces, like the living room. The mobile device is a way of maintaining privacy. But the world of aps is a very different world than the world of websites. It’s surprising that we don’t yet have powerful geographically-linked apps – it may be that since youth are restricted to a world of home and school, geolocation doesn’t yet have a youth audience, and people love to experiment on young users. She notes that the old is new again, pointing to the rise of the aniGIF.
David LaRochelle wonders whether issues of Facebook’s collapsed context is a technical problem – could something like Google Plus solve those technical problems? danah explains that the key feature of new platforms is that Mom doesn’t know about them yet – once Mom knows you have an account, she can watch over your shoulder or demand you friend her. She asks us to think back to high school: not everyone in your class are friends with one another. When you plan a party, you don’t want to invite everyone. That same drama plays out online – you can move to a different platform as a way of connecting with a subset of friends.
Judith Donath asks what we’ve learned longitudinally from studying social media over the course of years. What happens when a generation that grew up on one set of applications is now 23? danah explains that the book is really about high school. She’s tracked some of these teens through college or the military and into the real world. Something that becomes clear is that certain behaviors are tightly associated with a life stage. The constraints of high school dynamics seem to force people to work through status, peer relationships and early sexual relationships, all of which play into online media environments, and then, in turn, influence those school dynamics. Once people are no longer constrained by school dynamics, you see a more mature set of dynamics: more dating, more efforts to appear cool, and lots of discussion about employment. The use of social media changes sharply for 20-somethings who want to go into social media marketing, or government, where that behavior ends up changing their online behavior.
A visiting scholar from Valencia asks about gender differences in teen behavior online, especially around experimentation. danah notes that it’s challenging to differentiate between gendered behavior online and offline: online behavior mirrors the offline. Status dynamics come into focus for girls earlier than for boys, while boys have more gameplay relationships (pranking, punking) with their peers, both offline and online. One of her book chapters is on “drama”, a predominantly female behavior online and off. What’s more challenging in studying gender online is watching gendered pressures, especially around sexuality, playing online. Young girls see a Miley Cyrus video and feel pressure to dress and behave certain ways. Young boys feel social pressure to talk to girls in certain ways. Online environments make very clear how powerful these pressures are.
Tim asks about policy and practice responses to youth behavior online. danah explains that she never expected to engage in policy through this research. She takes us back to a lawsuit mounted by 49 states attorneys general against MySpace, accusing the platform of enabling sexual predation. One of the outcomes of the suit was appointing a Internet Safety Task Force, consisting of danah, John Palfrey, and Dena Sacco, to help MySpace regulate behavior. The attorneys general expected a tension between the three, but the three worked closely together to consider actual data around contact, conduct and content online. Their research found far less evidence for dangerous behavior online than the attorneys general had expected to find, and came to the counterintuitive finding that the laws designed to prevent bullying had often had negative effects. danah hopes that one thing this book can do is help prevent ridiculous, counterproductive laws from being written.
danah also explains that it’s been very hard to work with practitioners, like teachers. In the early days of social media, teachers often came into these spaces and explored how to interact with students. It’s now become an article of faith that teachers should not engage with students in these spaces, and that’s a shame, as it’s important to have non-custodial guides online. Don’t friend a student, but if a student reaches out to you, reciprocate. “Don’t flip out” when students misbehave, but make clear that you’re present in the space. She notes that Jane Jacobs explained the importance of eyes of the street in urban spaces – we might think of the same dynamic happening online.
Kate Darling notes that Sherry Turkle speculates that online communication in the place of face to face communication is dangerous and detrimental. danah explains that she loves Sherry as a person, but strongly disagrees with her as a researcher. Sherry starts conversations by noting how uncomfortable teens are interacting with adults – when, asks danah, have teens ever been comfortable interacting with adults?! Teens are comfortable socializing with each other face to face, but retreat to devices around adults. Teens want to spend more time face to face with friends and generally are prevented from doing so. “Every aspect of sociality is a learning process and you strengthen different muscles through different interactions.” Teens may be more sophisticated in interacting online than in interacting face to face simply through where they have the most practice. But it’s absurd to suggest that teens are somehow stunted by online interaction.
“The political activist in me got entertained by the idea that a generation learned to use proxies to escape restrictions put in place by adults.” When we talk about teenagers, we’re usually dealing with our own anxieties, danah says. Lawmakers became obsessed with teen sexting before Anthony Weiner came on the scene and reminded everyone that lawmakers can misbehave as well.
Deb Chachra refers to a Sumerian clay tablet in which a father complains about his slacker son. How do we overcome the “kids these days” narrative that shapes so much of discussion around kids and social media. danah notes that the downside of Deb’s example is that we appear to be predestined to repeat these behaviors. The key is to get adults to listen to young people. Young people are telling their stories – the positive and the negative – to an unprecedented degree. Instead of complaining, there’s an amazing opportunity to listen to youth writ large. danah hopes the book will spark conversations about how we listen, rather than answering specific questions. That said, she worries that protectionism of young people leads to young adults who are not well socialized to deal with the choices of college or adult life.
A questioner asks about kids moving to different platforms to escape their parents. She notes that there’s a spectrum of risk from paranoia to actual risk. If kids are escaping to these narrow, parent-free spaces, who are the people on the streets who can provide eyes on online behavior? The providers of these applications are not teenage kids and may not have the best interests of teens in mind. danah suggests that we think about what adults are in the lives of kids beyond their parents. We want kids to have multiple adults – the cool aunt, the teacher they like – in their lives, and they are likely to invite these adults into online spaces. This is why age segregation is a dangerous direction for online platforms – we want adults and youth interacting in the same spaces. But danah doesn’t believe this will necessarily happen automatically – we may need to consciously create eyes on the streets, as community activists do by putting college students on the streets to work with at-risk youth. We need people to be involved in online spaces in a way that they are available, but non-judgemental.
danah notes her involvement with Crisis Textline, an NGO she helped start, that uses texting to connect teens to crisis hotlines. The worst thing we can do, she suggests, is put these decisions in the hands of engineers. We need to look at the people who understand these social systems and build on their best practices.
Rob Faris notes that part of being a kid is surviving your own mistakes and being able to hit the reset button. How does that work in online spaces? Could platforms and online spaces improve on this score? danah notes that one of the challenges online is that things go on your permanent record – she notes that her teenage Usenet posts are still online. We don’t know the longitudinal answer, danah notes – she’s part of a cohort that really did grow online, but it’s not clear how that information may affect life going forward. People assumed that bullying would be worse online, but it’s actually turned out that having a record of bullying is helping people find support. Documenting self-harm seems to lead youth to interventions that happen more quickly, but perhaps that accelerated progress is a good thing. Perhaps we are able to acknowledge the past through some sort of online transparency, putting information online before someone else does. She notes that we’ve moved into a culture of forgiveness for US presidents – from I didn’t inhale, to I did drugs, but I was a kid from Clinton to Obama – that we may simply be making it easier to escape your past. The question is whether this will be true for underprivileged youth in the same way that it is for the most privileged.
A questioner asks about youth’s relationships with free services. danah notes that this generation has very little access to financial capital. Babysitting and newspaper routes no longer produce revenue for kids, and kids now compete with fifty-year olds for fast food jobs. Without capital, there’s enormous pressure for kids in poorer families to get a phone and a pay as you go data plan. As a result, she saw a lot of kids engaged in illegal activities to obtain devices. Once kids are online, it’s all about free. They don’t particularly like ads, but they don’t see an alternative. The response is a form of gameplaying: can you send content to your friends that make them get absurd ads? Young people understand the ecosystem, but their relationship is one of hacking and playing. Their goal is socializing with their friends, and they understand that free services make that possible.
Tim Mallay notes that he recently revisited danah’s discussions of gentrification in MySpace. In 2006-7, danah explains, she saw a split between youth moving to MySpace and Facebook. Facebook appeared safe and high-status, while MySpace seemed dangerous, poor and used by people of color. danah wrote an essay she now regrets discussing this dynamic, and woke up to a media storm that resulted from her observations. Teens often told danah that she was right, though insufficiently nuanced. These race and class dynamics are still critical to understanding social media, danah tells us, but there’s no longer as start a division between sites. Instead, it plays out in different behavior on the different platforms. Because social media plays out around the race and class networks of your social circle, it’s impossible to understand online behavior without considering these issues. danah guesses that we’ll see this again once we’re fragmenting between different services like messaging aps – adoption of the different platforms tends to be based on race and class. This matters, because in 2006-7 colleges were recruiting online – we need to make sure that we don’t reproduce privilege online by favoring some platforms over others.
A question from a Berkman staffer begins by noting that he coaches high school atheletes, and he’s observed that they are less broadly skilled than they were years ago. He believe this is because students only engage in physical behavior in structured ways. Is it possible that we may finally be reaching a point where we will be able to tell youth that it’s okay to go outside again? danah notes that, especially within privileged environments, it’s hard to get a network of parents to change behavior. It’s a collective action problem – if you allow your children to be “free range” kids, other parents will force their children to shun your child. Because it doesn’t work to go parent to parent, danah feels it’s important to bring these messages of the importance of giving youth space to roam online and offline to media and other public fora. Oddly, she’s more successful making this case for urban families than to suburban ones, if only because public transportation makes it possible for children to roam.
danah will be speaking tonight (February 25) at the Harvard Bookstore. Come and hear hear her talk about “It’s Complicated” and bring your own questions.Ethan Zuckerman and Nathan Matias blogged this talk. Willow Brugh visualized it as well:
My students Erhardt Graeff, Matt Stempeck and I have a new paper in First Monday, titled “The Battle for ‘Trayvon Martin’: Mapping a Media Controversy On- and Offline”. In it, we examine how the shooting of Trayvon Martin turned into a dominant story in the news media by examining blogs, newspapers, Twitter, television broadcasts, online petition signatures and other media. The paper is here, but Erhardt’s summary of the paper may be a helpful introduction (as the paper itself is pretty long.)
We had three goals in writing the paper: to understand how the tragic, but initially unheralded death of Trayvon Martin became a national debate on race; to document how different actors frame and reframe stories when they receive media attention; and to show the value of analyzing a single news story in a variety of different mediums. It follows on Benkler et. al.’s paper analyzing online conversations about SOPA/PIPA, using many of the same tools, but adding some new data sources, like Archive.org’s collection of closed captions of broadcast television.
This paper is an outgrowth of the work we’ve been doing on Media Cloud for several years, supported by the Ford Foundation, the Open Society Foundation and the Knight Foundation. There’s a pile of Media Cloud-related research coming out soon. The SOPA/PIPA and Trayvon papers show the utility of the tools we call “Controversy Mapper” for analyzing a specific issue or set of stories, while another set of tools (related to the Mapping the Globe and World According To projects from Catherine d’Ignazio and Rahul Bhargava) are launching later this spring. We owe huge thanks to Hal Roberts, David LaRochelle and the team at Harvard and MIT that has been building the infrastructure to make this work possible.
It’s really been a pleasure working with students who’ve been willing to put hundreds of hours into untangling a complex and important story. Hope what we’ve learned is useful to you.
Organization: Invested Development
Overview Title: Investments Intern
Start/End Date: Spring Semester 2012
Schedule: 15 hours per week
Invested Development is looking for a highly motivated business student at the junior or senior undergraduate level. The ideal candidate enjoys learning about technology startups and businesses that create impact in emerging markets. Specifically, an interest in international business, investing, entrepreneurship, and mobile tech and/or alternative energy startups is preferred. The intern should possess a strong commitment to social enterprise.
The intern will report to the ID Marketing and Research Manager. Primary tasks will include compiling key findings documents from research reports, online research, sourcing pipeline, lead generation, and creating deliverables for internal and external use.
Initial assignments will include:
Send resume (PDF preferred) and cover letter to Christina at ctamer[at]investeddevelopment.com. Use “ID Intern - first name last name” as the subject. Please note that only shortlisted candidates will be contacted for an interview.
About Invested Development
We are a for-profit, impact investment fund manager sourcing and funding the most impacting solutions to global poverty. We invest in seed stage social enterprise with mobile technology and alternative energy solutions that are affordable and scalable in emerging markets.
Organization: Waste Capital Partners
INDIA COUNTRY DIRECTOR
Waste Capital Partners, a solid waste management company with a social mission, is seeking a country director for its India operations. Waste Capital Partners employs waste pickers to conduct doorstep garbage collection while also utilizing the collected garbage to create and market compost and recyclables. We are a rapidly growing young international company with a focus on delivering better livelihoods for waste pickers, cleaner cities, and a better environment. We seek an experienced professional that has strong field operational experience and is now seeking to build a high-performing business working with marginalized communities.
Manage Waste Capital Partners’ two service lines in India: Household and Municipal Solid Waste Management Services.
COMPENSATION is competitive and will be a combination of salary and vesting stock.
LOCATION is flexible Please apply by submitting your resume and cover letter at http://www.wastecapitalpartners.com/jobs
Authored by: Myra Valenzuela
(Pictured: Abduallah Abdel Qassim, 47, a partner in aluminum shop making window frames that received microloan from Social Welfare Fund for equipment. Image credit: World Bank Photo Collection).
High rates of youth unemployment across the Middle East and North Africa were a major catalyst for the Arab Spring revolutions. To help address this pressing issue, the Development Marketplace is preparing for a country-level competition in Egypt early next year. The proposed DM competition will focus on social entrepreneurs with projects that have a strong impact on creating sustainable job opportunities, especially for low-income and marginalized groups. The main focus of the Egypt DM will be on supporting projects in the agricultural supply chain sector.
In order to understand the bigger picture of social entrepreneurship in Egypt, I spoke with Ehaab Abdou, who recently joined the Development Marketplace team to develop the Egypt DM program. Prior to coming to the Bank Ehaab was an Ashoka Fellow and advisor for the Middle East Youth Initiative at Brookings. For Ehaab, there are three main challenges facing social entrepreneurship in the MENA region and in Egypt in particular:
Although the social entrepreneurship field in Egypt has its challenges, there have been some recent positive trends. The SE ecosystem is growing; for example, Technoserve is likely to expand its work to Egypt, joining other major players like Ashoka, Acumen, Endeavor, Schwab, and Skoll Foundation, all of whom have been working in the region for the last few years.
Plans to hold public-private dialogues around the restrictive regulatory framework are in the making. Additionally, civil society groups interested in becoming implementing partners of the Egypt DM program have expressed a desire to work collaboratively and not competitively. There is a strong sense of urgency now to build on this recent momentum and offer social innovators in Egypt the support they need to transform society. (Pictured: A Yemeni woman entrepreneur who rents the use of this pool table to the residents of her town. Image credit: World Bank photo collection).
As Ehaab asserts:
"For social entrepreneurship and inclusive business models to thrive and play their desired and much needed role in the region's development, we have to create the necessary ecosystem which includes the missing intermediaries as well as addressing the restrictive legal and regulatory framework."
Organization: Calvert Foundation
Calvert Foundation seeks an Investor Relations Associate to work closely with impact investors supporting low-income communities throughout the US and around the world. The Associate will support the organization’s work with investors, donors, and financial professionals at the cutting edge of investing for social impact.
The Associate will be a primary point of contact and provider of administrative support for impact investors. The successful candidate will be a talented and socially-committed individual, with strong communication and administrative skills, a sharp attention to detail, and a can-do spirit.
Principal Duties and Responsibilities:
Qualifications, Skills and Required Experience:
Comments: This position is full-time with generous benefits that include medical, dental, life, PTO & sick leave, 401(k), transportation subsidy, and more. The position is based in Bethesda, MD. No phone calls please. Interested candidates should send a resume and cover letter to email@example.com with “Investor Relations Associate” in the subject line.
Organization: H2O Venture Partners
What is H2O Venture Partners? H2O Venture Partners (www.h2ovp.com) is an exciting, ground-breaking business in the field of social entrepreneurship and impact investment.
Based in Oxford, UK, but with activities in India and Africa, we are a team of ten entrepreneurs and support staff. We style ourselves as ‘pre-business plan investors’ who then run a full, highly creative process of business creation. Increasingly we apply our skills to impact investment: creating sustainable, profitable enterprises benefiting the poor of developing countries.
As part of H2O’s East African agricultural program we are establishing processes for identifying and mentoring a cadre of local entrepreneurial managers who can work to validate nascent commercial opportunities and, if appropriate, develop these into full businesses.
What is the Job?
We are recruiting a New Businesses Manager to be based in Kigali to identify and recruit entrepreneurial managers in-country (supported by executive search consultants) and thereafter to support the business development activities of those managers on their individual projects, including:
The New Businesses Manager will also undertake some travel to provide business development support for other H2O projects in the region.
Who Are We Looking For?
Educated to first degree level or higher in a relevant subject, you preferably have experience of working in the region.
You are a creative self-starter, who enjoys working autonomously and with considerable discretion to deliver high level outcomes. You are an experienced pair of managerial hands, able to run a process to tight timescales, willing to identify and address problems promptly, and able to work effectively with a range of people of different backgrounds, personalities and skill sets.
You will have a strong ability to communicate in written and spoken English, and a good grasp of Excel and PowerPoint.
Experience of business development is also highly desirable, but for candidates with demonstrable entrepreneurial potential the post will provide an opportunity to gain considerable exposure to the excitement and challenges of business creation.
What are the terms of employment?
Please respond with a CV and covering letter to Dr. Antonia Cardew
Closing date: we will run a rolling recruitment process, but in any case, please submit applications before 16 February 2012.
Organization: Skoll Centre for Social Entrepreneurship
The Skoll Centre is looking to hire an entrepreneurial leader to help grow the Centre as the Skoll Centre Manager. This is a senior position within the team dedicated to designing and driving forth overall strategy and its operational implementation. They should have deep experience in global social entrepreneurship and a proven track record of managing teams and organisations.
The Manager will work directly with the Centre Director in all external facing efforts in building a collaborative network, including partnership and business development, as well as relationship management across Oxford University, the Skoll Foundation, and other investors.
The Manager oversees all operational aspects (including budgeting, marketing, finance, human resource and reporting) whilst also serving as a strategic advisor on the Skoll Centre activities, especially its Developing Talent portfolio.
The right candidate will need to know how to spot opportunities, manage people and key relationships, and create structures in flexible and open environment. They will be a collaborative self-starter, an excellent written and verbal communicator and an experienced ambassador for social entrepreneurs.
Full details available here.
Closing date February 10, 2012
Authored by: Stuart Hart
Editor's note: This post originally appeared on Stuart Hart's blog.
Since the dawn of the Industrial Revolution, economies of scale have ruled the day, with massive investments in power plants, pipelines, factories, transmission lines, dams, and highways to more efficiently serve the burgeoning consumption needs of the rising consumer classes. Industrial-era technologies (such as electricity, petrochemicals, and automobiles) were also closely associated with mass production, the assembly line, and centralized, bureaucratic organization, resulting in the rise of organized labor, worker alienation, and growing social stratification.
As we enter the second decade of the new century, however, the "dark satanic mills" of the Industrial Revolution are giving way to a new generation of technologies that promise to change dramatically the societal, economic, and environmental landscape. The information economy powered by the microchip has already begun to revolutionize society by democratizing access to information and empowering the repressed. Indeed, YouTube, Twitter, and the rapid emergence of the "blogosphere" have spawned a bottom-up revolution in user-generated content.
Authored by: Ignacio Mas
Mobile money helps people pay for things in two ways. Directly, by sending value to suppliers of goods and services; and indirectly, by getting remittances from friends and family members which can be used to pay for things. Mobile money works best when there is a coincidence of timing between sources and uses of funds, as then the transaction is immediate. But when there is separation in time between when money is available and when it needs to be paid out, mobile money has so far proved less useful.
The separation in time can occur for two main reasons: (i) if the payment needs to be made on a specified future date (e.g. rent, school fees, electricity bill, seeds for planting), or (ii) if the payment is sizable relative to income flows, such that there needs to be an accumulation of funds prior to the commitment of the expenditure (e.g. buying a motorcycle or new farming implement). These expenditures constitute spending goals, and people will use a variety of mechanisms to achieve them.
Bridging that gap is the role of the store-of-value account in a mobile money system, except that it appears that most people don't leave much value in there. That is probably to a large extent because for regulatory reasons mobile money is usually not marketed as a savings vehicle. But it could also be that people find mobile money too liquid, too easily available: like cash in the pocket, it is best gotten rid of in favor of something valuable (a chicken or a pig), lest it comes to be used for something superfluous.
Since these spending goals represent future expenditures, one could use a system of deferred payments to apply current income to these future goals (see this detailed paper, Savings as Forward Payments: Innovations on Mobile Money Platforms, written by Colin Mayer and myself). Think of these as Me2Me payments (across time), instead of the garden-variety P2P payments (across people, in real time). All it takes to create them is one additional optional field in the standard money transfer menu: the date when the transaction is to take effect. (Immediate execution could be the default, if no date is specified.)
Thus, if I had a good day and made $5 today, I'll cash in the $5, send $2 to myself for February 28 because that's when school fees are due, and another $2 to myself for June 30 because that's when I aim to buy a bicycle; the remaining $1 I'll keep in my liquid mobile money account for daily expenditures. Or if I am a farmer, I'll cash in the value of my crop at harvest time, but can then send good chunks of it to myself to those dates when I need to pay for the rent of the land for the next season, and pay for soil preparation and seeds at planting time. With the remaining value, the farmer could even create monthly payments to himself emulating a salary until the next harvest.
Me2Me payments to future dates are functionally equivalent to commitment savings sub-accounts, each of which is associated with a particular future date. Through this scheme, there is no need to pre-define or open multiple accounts. In the customer's mind, each date, and hence each sub-account, would be associated with a purpose. In this fashion, mobile money providers can create an easy-to-use commitment savings platform that maps out how people think about their needs and their money.
Most people save because they want to buy something. Applying a payments logic to savings behaviors makes it more tangible and relevant for people. It's parking money for a purpose, it's pushing it forward until you have enogh. It's reinforcing the positives (the spending goals) rather than the sacrifices (savings).
Enabling Me2Me payments is a value add for mobile money providers. But more importantly, it can help soften the brutal network effects that are inherent in the early phase of development of P2P networks. With Me2Me, mobile money may be a very useful even when few other people are on the network, because it helps people manage their own money.
Authored by: Blair Miller
Editor's note: This post was previously published on the Acumen Fund blog.
I had an interesting moment of reflection the other day about the field of social entrepreneurship. We are reaching a point where we are seeing a second wave of professionals moving into this space. I look back to about 7-10 years ago when I started pursuing this work. We were all entrepreneurs in our own right trying to define a career path that just didn't fit with the mold. We all came at if from different angles and were experimenting in different sectors, geographies, and educational degrees.
The other day though I began to realize that the field of social entrepreneurship is becoming more professionalized. We have people prescribing their careers. First consulting out of undergrad, then a one year stint at an NGO or social enterprise abroad, then B-school, then they land a "job" at an organization in this field. It is so interesting that people are pursing "jobs" in this space, and it is also exciting to see as it is demonstrating that the industry is growing and becoming more institutionalized.
So as I observe this shift, there are two things I am thinking about.
First, what does this mean for the level of innovation pumping in and out of the industry? With a more "traditional" career path into this field, will it stifle the entrepreneurial drive of our industry and/or bring in the systems and processes we need to really grow?
Second, while there is a more traditional path into the field, there are still not traditional career progressions within the field. I find that many people who come into the field for a "job" struggle to see what their career path beyond that job looks like. That aspect of our industry is still very entrepreneurial: the people who are successful at staying in this field understand how to move in and out of sectors and organizations.
With this in mind, it is interesting to see how our field will evolve...
Authored by: Marc Gunther
In the developed world, brewing giant SABMiller, whose global brands include Miller, Peroni, Grolsch and Pilsner Urquell, competes with the even bigger brewing giant Anheuser-Busch InBev, which owns Budweiser, Beck's, Stella Artois and Michelob. They're the Pepsi and Coke of beer, which, by the way, is the world's third most popular drink, after water and tea.
But in Africa, SABMiller's biggest competitor is the guy (or gal) who makes beer at home. That's a big reason why the company, which had revenues of $28 billion last year, recently began selling Impala, a beer made from cassava, in Mozambique. Similarly, for about a decade, SABMiller has been selling Eagle Lager, a beer brewed with sorghum, in Uganda.
Using ingredients local like cassava and sorghum crops appeals to local tastes, supports local farmers and keeps costs down so SABMiller can price its beer lower to compete with homemade brews.
"By using locally-sourced raw materials, we can make high-quality, but affordable products for consumers who would otherwise be drinking informal or illicit alcohol. So the long term commercial opportunities are significant," Andy Wales, SABMiller's global head of sustainability, told me in an email interview.
Beer at the bottom of the pyramid, you could call it.
Authored by: Tracy Elsen
Opportunities in China for impact investing are growing, where investors look to create positive social and environmental benefits alongside returns. Impact investors actively choose to put their money into companies that address social and environmental issues through their business models. Tao Zhang, the Chief Operating Officer of New Ventures, WRI's center for environmental entrepreneurship with local operations in China and five other high growth markets, answers questions on the country's current investment climate for environmentally-focused small and medium enterprises (SMEs).Is there a culture of impact investing and impact-focused companies in China?
Zhang: Impact investing is a very new concept in China and most companies remain very commercially focused. Many companies with environmental and social benefits inherent in their business models are not yet familiar with the impact investing concept, and thus are not in a position to present themselves as "impact" companies. At New Ventures, which is led in China by Country Director Walter Ge, we have worked with companies that have only realized the environmental impact they create after they have gone through an exercise to help them manage their environmental performance. In this exercise, New Ventures helps companies to quantify the positive impacts of their products and services, such as reductions in greenhouse gas emissions.
However, on the other hand, there are many companies that provide real environmental solutions in China, such as those that we work with in the energy efficiency, water quality, and recycling sectors.
Zhang: There is abundant opportunity in China for impact investing, particularly relating to the environment. A lot of the big business decisions in China are driven by government, not by the private sector. However, there is a huge demand and room for the private sector and investment, particularly SMEs, to help implement the government's goals for environmental protection and poverty reduction. The government has a "top down" approach, and it makes sense to add in a "bottom up" approach, which is where SMEs and their investors can play a significant role.Who are the investors in China right now putting money into companies creating impact?
Zhang: Right now it is very much commercial capital, as I don't think there are many self-declared impact investors. There are a few trying to gain traction, but they face challenges building capacity on the ground to source deals and interact with entrepreneurs. These developments will require significant time commitment from investors. Impact investors from more mature markets in the U.S. or Europe do not have enough resources to set up an office or hire staff on the ground in China. And it's hard to find and hire the right type of people in China because qualified investment professionals tend to choose to work for more traditional investors.What needs to take place in China for impact investing to grow?
Zhang: Given the need for China to create sustainable economic growth over the decades to come, impact investing has an important role to play and should gain traction in the country.
The government has an opportunity to develop policies that encourage more investment into Chinese impact companies both internationally and domestically. Specifically, policies relating to foreign investments in Chinese start-ups need further clarity. Investors have been finding it challenging to convert their money into local currency upon entry and vice versa when they repatriate the capital upon a successful exit.
Meanwhile, organizations that promote impact investing can do a better job marketing its potential benefits. When one talks to different stakeholders in China, including government officials, about impact investing, time and energy is required to explain to them what it is all about.
The good news is that some Chinese cities, like Shanghai, are starting to pilot foreign limited partner-friendly policies to improve the investment climate for international investors. This growing trend in China will potentially make international investors feel increasingly comfortable investing in local companies.
The government is also starting to take notice of impact companies. At the recent China New Industrial Development Forum in Shenzhen, China's Ministry of Industry and Information Technology (MIIT) announced a report on the "Green Impact of Chinese SMEs", which is scheduled to come out in March 2012. The report, which makes extensive use of the environmental performance indicators that New Ventures uses, will collect and analyze the financial, environmental, and social performance of Chinese green SMEs, highlighting their environmental and social contributions to the economy.What is New Ventures planning to do in China to grow the impacts of the environmental companies it works with?
Zhang: New Ventures China recently received funding from a Hong Kong-based foundation to look into the feasibility of creating China's first genuine environmental impact fund. The objective of the study is to look at the macro picture and figure out how to take advantage of New Ventures China's portfolio of environmental enterprises to either set up or help facilitate a fund.
Hopefully, New Ventures can help provide these companies not only with technical assistance but also the necessary financing to help them scale up to the point where they are sufficiently attractive to traditional venture investors.
We will also work with the Information Centre of MIIT to tackle the barriers to the growth of environmental entrepreneurship in the country. By sharing best practices from New Ventures China's high-impact environmental SMEs, we are well placed to develop recommendations for policy-makers and investors to accelerate environmental entrepreneurship and green investment in China.
Organization: MaRS Centre for Impact Investing
Position Type: Full-time
Location: ON - Metro Toronto
Application Deadline: 2012-01-30
The Director, Centre for Impact Investing will provide strategic direction for the Centre’s programs and initiatives, manage the operations and staff of the Centre, and manage an extensive network of external stakeholders and partners.
About the Centre for Impact Investing
Building upon the foundational work of the Canadian Task Force on Social Finance, which was supported by Social Innovation Generation (SiG) and MaRS, the Centre for Impact Investing is a national social finance hub dedicated to advancing impact investing in Canada. The MaRS Centre for Impact Investing will increase awareness, develop and share knowledge and expand the effective application of social finance, by catalyzing new partnerships, mobilizing new capital, attracting and developing talent, and stimulating innovation focused on tackling social and environmental problems in Canada. The Centre will support the growing, vibrant network of players active in social finance across Canada, and help connect Canadian partners to the active global community working in the field of impact investing in both developed and emerging markets. The Centre will be active in market and product development, as well as develop and deliver programs and services focused on research and policy, impact measurement, education and multi-sector engagement initiatives to mobilize private capital towards public good. The Centre will also deliver current MaRS programs such as the Social Venture Exchange (SVX), the Canadian B-Corp licensing hub, and SocialFinance.ca.
For more details, visit: http://www.marsdd.com/careers/directory/director-centre-impact-investing/
How To Apply:
Interested candidates should forward their resume and cover letter to firstname.lastname@example.org by January 30th, 2012.
MaRS thanks all candidates; however, only candidates selected for an interview will be contacted.
If you have any questions about the position, please contact Allyson Hewitt, Director, SiG@MaRS and Director, Social Entrepreneurship. Allyson can be contacted via email at email@example.com.
Organization: Root Capital
The Lending Analysis Assistant supports the growth of the analytical capacity of the Lending Team by providing additional analytical capabilities to the Lending Analysis Manager and to the Junior Analyst. He/she will also support ongoing projects between the Lending Analysis and the Impact Assessment team as appropriate. This position will work closely with other members of the lending team, accounting team, and supervisors. Through his/her work, s/he will reflect the organization’s belief that a well-supported and well-informed strategic team will be the most effective in achieving RC’s mission.
MISSION AND HISTORY OF ROOT CAPITAL
Root Capital’s mission is to grow rural prosperity by investing in small and growing agricultural businesses that build sustainable livelihoods in Africa and Latin America. Root Capital is a nonprofit social investment fund that grows rural prosperity in poor, environmentally vulnerable places in Africa and Latin America by lending capital, delivering financial training, and strengthening market connections for small and growing agricultural businesses.
a. Conduct analytical analysis for portfolio management and reporting purposes.
b. Assist in identifying and creating a set of reports for different levels of lending staff.
c. Assist in the updating of the Lending Model by providing background and trend information.
d. Provide ad-hoc analytical support on a case by case basis for different projects.
e. Provide analytical support for the 2013-Annual planning process.
2. Collaborate and co-manage other interns in the construction of a "Lending Team Master Database"
QUALIFICATIONS AND EXPERIENCE
SALARY: Commensurate with experience.
APPLICATIONS AND NOMINATIONS
More information about Root Capital is available at www.rootcapital.org
Applications are due by February 29, 2012. Candidates are encouraged to apply as soon as possible.
Applications including resume and a cover letter describing your interest, qualifications, language abilities, salary requirements, and how you learned of the position should be sent to: firstname.lastname@example.org. Please type “Lending Analysis” followed by your name (Last, First) as the subject line of your email (e.g. “Lending Analysis – Marrero, Marc”).
Authored by: Eric Kacou
2011 will live in history as the year Africa made a dent in the world, to paraphrase Steve Jobs. As previously discussed in this NextBillion series, The Economist, a 'beacon of afro-pessimism', headlined "Africa Rising" late last year. What a jump from "The Hopeless Continent" in 2000.
Thankfully, the cover underscores solid empirical evidence. Africa leapt forward at 4,9 percent last year in a growth starved world. While the Arab Spring heralded a new era of accountability, inspiring - some might suggest - the occupy Wall Street movement.Moving beyond the Survival Trap
Anyone visiting Africa would be hard pressed to see Africans celebrate this feat. This is not for being an ungrateful people. Rather, it is because the growth spurt has not materialized into tangible improvements in the life of the average African citizen. At least not yet...
Who is the average African citizen? It is a young woman (or man) living off subsistence farming on a very small plot of land in a rural area. This citizen feels stuck scrapping to survive in the pre-industrial age while the rest of the world moves forward in the digital age.
In reality, most Africans are still mired in the 'survival trap', a vicious cycle that makes individuals, businesses and nations react to short-term crises instead of developing long-term strategies for prosperity.
This where Haiti and Africa share a lot more than meets the eye. Beyond a shared history and deep cultural roots, one realizes that their development indicators are very similar.
Today's greatest challenge is the struggle for prosperity. It is also, arguably, today's greatest opportunity.
Make no mistake: Freeing the 2.7 billion people struggling on less than two dollars per day from the survival trap is not optional. In reality, it is not only a moral imperative, but it is also an economic one.
Authored by: Renee Manuel and Felix Oldenburg
Over the years, financial indicators and quantitative metrics have grown in importance in evaluating society's competitiveness. In spite of this, the most important indicator remains remarkably simple: How many changemakers are there?
As representatives from Ashoka, we talk about making a world where "Everyone is a Changemaker" - empowering people to engineer social change in a way that no one has thought of before. From 30 years of experience searching for leading social entrepreneurs, we have learned two things:
1. Social entrepreneurs emerge in every society, no matter how progressive or traditional, and often from the most unlikely backgrounds.
2. As resilient and creative as they might be, the speed of growth of their innovations depends on whether we can create and support the needed infrastructure for their ideas to scale.
But what happens when the financial ecosystem in which social entrepreneurs work is fundamentally broken? Where, for instance, the financing structures that are offered encourage dependency, organizational growth, and shrinking salary pools to pay top level talent?
Instead of empowering social entrepreneurs to unleash their innovations on the market, the current forms of capital hinder citizen sector organizations and box their ideas into programmatic grants and traditional non-profit models, or offer loans and equity at conditions that threaten to undermine their social purpose.
Authored by: Carmelina Macario
When you start to think about investing your money to save for retirement or to grow your net worth, you are faced with a lot of questions:
How much do I put aside every month? Who do I trust with my money? I am a high- or low-risk investor? What do I want to invest in? Enter the financial advisor - they can help answer those questions, set up a portfolio for you and give you piece of mind. But what about when they can't offer you something you want to invest in? What happens with even Socially Responsible Investment (SRI) funds don't met your needs?
Enter impact investing. Of course it isn't a new concept (NextBillion has covered it extensively) but it is a concept that is gaining popularity in the investment community. For the uninitated, impact investing is the act of investing your money into projects that will have a positive social or environmental impact and getting a return for it. Impact investing experts credit the gain in popularity to among other things: the instability of financial markets, the creation of a common framework for reporting on impact investments and to the shift of donors lending money to causes rather than giving money to causes.
INTERN WITH EIGHTY2DEGREES
Position: GRAPHIC DESIGN INTERNSHIP
Location: Washington, DC
Wanted: *Intern on a mission to drive social change through design!
MUST POSSESS THE FOLLOWING QUALITIES:
*passion *drive *creativity *professionalism *innovative thinking *an affinity for fun! *social consciousness
Eighty2degrees is a multifaceted, creative studio that specializes in strategic and compelling solutions for those doing meaningful work. Our mission is to help our clients achieve their goals by effectively crafting their message through branding, communications, and design.
HOW EIGHTY2DEGREES CAME TO BE:
Eighty2degrees is the dream project of a graphic designer who has taught design at the university level for several years before taking a leap of faith and starting her own socially conscious design firm. Client roster includes the UN Foundation, Shakespeare Theatre Company, the Smithsonian Institution, UNEP, Indego Africa and The mHealth Alliance.
WHY THIS IS THE BEST INTERNSHIP EVER:
As an intern at Eighty2degrees you’ll be exposed to all areas of the design, both print and web, as well as business and marketing through hands-on training and experience on projects. Eighty2degrees will provide our interns with the opportunity to gain a better understanding of graphic design, our mission, culture and commitment to our work and clients. If you want to have an impact using your design skills this is the right internship for you! In addition, you will be able to create a network in our office space at the Affinity Lab, a shared office space for entrepreneurs. Read about the Affinity Lab in the New York Times.
OPPORTUNITIES & RESPONSIBILITIES:
» Work closely with the Creative Director on various projects (including branding, marketing materials, website design, publication design etc.)
» Attend client and internal business meetings, as well as brainstorming sessions as needed
» Gain comprehensive knowledge of the design process for print and web
» Help with production on ongoing projects
THE IDEAL CANDIDATE WILL HAVE:
» A minimum 3.0 GPA & have completed their sophomore year
» Passion and experience for using design to make a difference
» Excellent design skills
» Critical thinking skills and the ability to solve complex problems with creative solutions
» Strong writing and communication skills
» Technical knowledge of Adobe Creative Suite & own a personal laptop
10–15 hours commitment per week for the Spring semester Modest stipend will be provided to cover travel and miscellaneous expenses.
Please send cover letter, resume and samples to: Ambica Prakash, Principal Email: email@example.com | Website: www.eighty2degrees.com
NextDrop, a social enterprise that provides water delivery timing information via mobile phone to residents in urban India, seeks a candidate to serve as the technical lead to work on developing the NextDrop IVR/SMS platform, as well as custom dashboarding technologies for urban water utility clients.
How we make a difference: “Will I get water today?” Hundreds of millions of people around the world ask this question everyday. In cities with intermittent water (90% of the cities in South Asia)—where piped water is available only for short and unpredictable intervals—people spend hours waiting next to dry taps, and are forced to buy water from private suppliers at high cost or use water from unsafe sources. NextDrop leverages the ubiquity of the mobile phone and delivers water delivery information via SMS and voice, thereby saving people time, reducing stress, and improving the quality of life for millions.
NextDrop Solution: NextDrop partners with water utilities to provide timely, reliable information on water delivery to residents via text message. When utility employees open valves at the neighborhood level, they call into our interactive voice response system. These updates are turned into messages for residents subscribed to the NextDrop service and live data for utility engineers, enabling them to identify and resolve problems as they come up.
Current Business Status: In September 2011, we officially launched our first product, a water notification system for urban households in Hubli. To date, we have over 5000 paying customers, and anticipate offering our service in all of Hubli (a city of 1 million people) by December 2012. To Date, NextDrop has raised over $450,000- the bulk of which has come as investments from Google and the Knight Foundation.
Responsibilities: The technical lead will be responsible for:
Compensation: On Par With Market
Interested? Contact Anu Sridharan: firstname.lastname@example.org