We were discussing about the three categories of people who could thrive in the new economy as the industrial age is shattering. Those who have access to capital are clear winners but not everyone are that much fortunate!
As I said before in another article, making a difference by connecting with your tribe is the most creative and self satisfying way for someone to achieve success in the connection economy. For a capitalist, there is less room for building such a connection and making a difference as there is no necessity for them to do like that. But the other two categories of people can produce work which is more valuable than that of any venture capitalists.
In this post, I would like to introduce such a group of people that interest me most, which is the superstars.
So, are you a superstar? Let’s find out!
The rise of superstars.
As Cal Newport mentions in the Deep Work, a good example of a superstar is David Heinemeier Hansson. Hansson is a computer programmer who created the Ruby on Rails framework, a framework upon which some of the popular websites like Twitter and Hulu are built. He is also the partner of the influential web based software development firm Basecamp(called 37Signals untill 2014). Hansson is not that much publicly open about his profit share from Basecamp, but we can assume they are lucrative enough given that Hansson splits his time on high performance race-car driving around Europe and USA.
The success of Hansson is a proof that “The Great Restructuring” is happening.
Eric Brynjolfsson and Andrew McAfee in their influential book, Race Against the Machine suggests that it is the rise of digital technology that is transforming our labor market in unexpected ways. As Brynjolfsonn and Mcafee Explains,
This restructuring is not driving down all jobs but is instead dividing them.
The one reason why an increasing number of people will lose in the new economy is their skills may be automatable or easily outsourced. But people who belong to the superstar category will not only thrive but their work becomes more valuable than ever before(therefore more rewarded).
End of Regionalism
One thing that happened when the world became more connected is the success of good freelancers. There are many virtual meeting software and high speed data connections now available in almost every countries. Supply of virtual human talent beyond the countries over the internet is now possible.
It no longer make sense, to hire a full-time programmer, put aside office space, and pay benefits, when you can instead pay one of the world’s best programmer or a programmer with 5 star reviews on freelancer.com for just enough time to complete the project at hand.
In this way companies can generate better results for less money.
For the high skilled programmers they are always in demand around the globe.
This new trend is holds the same for other growing fields where technology makes productive remote work possible- like consulting, marketing, writing, designing and so on.
As Newport says,
Once the talent market is made universally accessible, those at the peak of the market thrive the rest will suffer.
With the arrival of netflix in many countries, the margin of competition for the local entertainment industries is rising. An increasing number of individuals in our economy are now competing with the rock stars of their sectors.
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