Introducing the Game Club Workshop Series
It has been an exciting time in Silicon Valley sharing the possibility of the Game Club with hundreds of entrepreneurs across a wide range of fields.
Out of a commitment to entrepreneurs everywhere we are kicking off a series of entrepreneur workshops bringing together ambitious Founders, CEOs, CXOs and Entrepreneurs out to play big games.
The format of these events will be unique and designed to be intentional in creating breakthroughs for all who choose to participate. The events will feature a lineup of inspiring and accomplished entrepreneurs speaking about their personal stories and inviting participants of the workshop to contribute to their current challenges in building their next big venture. Following the theme of contribution and altruism from forming Game Clubs, these workshops are based around participants contributing to the speakers. In the process, all participants benefit by being present in this constructive environment.
The inaugural Game Club Workshop will be held in San Francisco on February 18, 2010. The theme will be based around “Playing with the cards you were dealt”. Registration is now open here:
More details to follow shortly. Stay tuned…
Entrepreneurs contributing to other entrepreneurs
The foundation for the Game Club concept is first causing a shift in mindset from focusing on personal gain to committing towards a collective success. This in turn will actually result in higher personal gain, even though it’s not visible at first.
Nikolas D. Kristof at the New York Times shares a unique insight on altruism and cites giving as one of our basic human pleasures (full article here – thanks to Hari Tammana for the link):
…I interview people who were busy but reluctantly undertook some good cause because (sigh!) it was the right thing to do. Then they found that this “sacrifice” became a huge source of fulfillment and satisfaction.
Brain scans by neuroscientists confirm that altruism carries its own rewards. A team including Dr. Jorge Moll of the National Institutes of Health found that when a research subject was encouraged to think of giving money to a charity, parts of the brain lit up that are normally associated with selfish pleasures like eating or sex.
The implication is that we are hard-wired to be altruistic. To put it another way, it’s difficult for humans to be truly selfless, for generosity feels so good.
“The most selfish thing you can do is to help other people,” says Brian Mullaney, co-founder of Smile Train, which helps tens of thousands of children each year who are born with cleft lips and cleft palates. Mr. Mullaney was a successful advertising executive, driving a Porsche and taking dates to the Four Seasons, when he felt something was missing and began volunteering for good causes. He ended up leaving the business world to help kids smile again — and all that makes him smile, too…
Consider altruism as an untapped source of personal gain. By supporting other entrepreneurs/startups in your pod you just don’t know what might be possible…
What makes microfinance in developing countries possible?
It is quite amazing how it is now possible for a poor unemployed person with no assets or collateral whatsoever to receive a microloan from a bank. What makes this possible?
- The stronger the social connections between members of a group lending arrangement, the higher is its repayment performance.
- Repayment performance is also associated with the extent to which group members have developed personal trust. This supports the view that social connections and personal trust are important in assisting monitoring and enforcement efforts.
What is “Group Lending”?
Group lending refers to the practice of working with clients in small groups (typically comprised of three to seven neighbors). Loans are made to individuals, but the group as a whole is held jointly liable should repayment difficulties arise. Economic theorists have been particularly interested in group lending, and nearly all of the economic work on microfinance focuses on the incentives induced by joint liability in group lending contracts, building on lending models pioneered by microfinance leaders like Bangladesh’s Grameen Bank and Bolivia’s BancoSol. (Beatriz Armendáriz de Aghion & Jonathan Morduch)
In other words, consider this hypothetical scenario: A bank makes a microloan to every resident of a small village in a developing country. It then becomes the responsibility of each resident of the village to ensure that every other person makes their loan repayments on time. If one loan recipient defaults, all other loan recipients will be liable. Each member of the group is accountable to all the other members, even though their business interests are independent.
Microloan recipients are all entrepreneurs. It is a universal reality that entrepreneurship is a rollercoaster ride. When these entrepreneurs are stuck in a pit, they can rest assured that their neighbours will come dig them out.
Entrepreneurs and startups in the western world would typically argue that society is not geared to support them. A few entrepreneurs persevere and breakthrough every hurdle to become successful. However, most get stuck in a pit and never get out.
What would happen if startups/entrepreneurs formed their own “Game Clubs” and took on a pact to be accountable and responsible for all other members of their club?
Entrepreneurs and the Stag Hunt
The Game Club is based on the Stag Hunt, a story that became a game in economic theory.
What is the “Stag Hunt”?
Imagine 2 hunters in a forest. To survive, a hunter can either hunt a hare (small rabbit) on his own or a stag (big deer) in cooperation with the other hunter. Both hunters would have more food if they hunt a stag and get half each. Here’s the catch: Each person can only hunt for one or the other. If both hunters go for the hare, they will get to eat. If both hunters go for the stag, they will get a lot to eat. However, if one hunter goes for the stag and the other goes for the hare, one hunter will be left hungry. (This is a simplified description. For a more detailed academic version of the Stag Hunt, see Brian Skyrms or Wikipedia)
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How does this relate to entrepreneurs?
Entrepreneurs typically look out for themselves first ( “me, me, me” ) and many become successful in their own game (while statistically most fail). What if entrepreneurs looked out for a small group of others as they would for themselves (“us, us, us”) and aimed for a collective success? Could they improve their odds of success and achieve greater feats?
What is The Game Club?
The Game Club Hypothesis
