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The benefits of a cooperative economy

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Scholars, managers, and citizens are increasingly concerned about societal challenges such as economic inequality. Whereas deprived communities struggle, three individuals in the US possess more wealth than its poorest half of the population. This trend is exacerbated by the Big Tech firms with their dominant digital platforms. Regulation and antitrust measures have been insufficient to counteract these trends, perpetuating an economic system focused on overconsumption and overproduction. Initiatives such as corporate social responsibility and redirecting corporate purpose fall short of systemic change. It is the design of our economic system that reinforces opportunistic behavior fueled by greed.

In this podcast, Dovev Lavie, a Professor of Strategic Management, proposes an alternative economic system, “The Cooperative Economy,” as described in his recent book. This system incorporates new design principles that promote prosocial behavior while restricting opportunistic behavior. By introducing principles such as price subsidization and leveraging cutting-edge technologies, this system can prioritize societal values, foster a sense of community, and minimize environmental damage, thus offering a viable solution to current societal challenges. For more information, visit

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