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The Mesh - Lisa Gansky [31]

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in new homes—and recently passed a bill that allows people to share their cars while maintaining their personal insurance coverage. California’s energy utilities have incentives to buy more alternative energy from local producers in order to meet their targets for nonpolluting energy sources. New state laws are also on the books to reduce driving and carbon emissions. These policies drive decisions by consumers and businesses, and in large part account for California’s superlative record in energy efficiency relative to other states.

Governments, of course, have a long history of influencing energy policy. One of the most successful examples was the expansion, during the New Deal era, of electrical service to rural areas in the United States. Laws and subsidies stimulated the growth of rural energy cooperatives, which are still growing and expanding into new forms of energy.

Mesh businesses and legislators should consider designing incentives to encourage share platforms that reduce greenhouse gases. Instead of subsidizing gas, we could promote behaviors that support share-based businesses coming online and into the black. What about a tax credit for car owners who turn their vehicles over to an Own-to-Mesh car-sharing service, like RelayRides or WhipCar, full- or part-time? The service could then offer a substantial discount to participants, while substantially reducing greenhouse gas emissions. That’s an incentive, too—for all of us.

a dense driver.


A million new people move to the world’s cities every week. Two centuries ago, only 3 percent of the population lived in cities. The figure is roughly half of the population now, and expected to grow to over 60 percent in just twenty years. One reason, of course, is simple population growth. Also, the better-paying and more interesting jobs are in urban areas. Cities can operate more efficiently than small towns. They are transportation hubs, historically built close to natural harbors and rivers.

The massive migration to the cities is simultaneously creating greater density within urban areas. Many cities do not have the option of growing out. That land is long since taken, or is valuable as farmland and protected. Instead, cities will grow up, literally vertically. While density is still a dirty word with many people, there are many benefits to denser, more populated cities. In a word: amenities. More cafés, well-designed public spaces, taxis, transit stops, bike sharing, and restaurants. More cultural destinations. More efficient ways to move goods in and out.

Denser cities are the perfect soil for growing Mesh businesses. When there are more people nearby to easily access and share cars, clothes, or bikes, the service is more cost-effective and profitable. Partnerships are easier to find and execute. Share platforms such as restaurants, taxis, broadband wireless, apartment buildings, airports, and hotels are more profitable to expand in a denser municipal environment. No wonder that, even in the United States, walkable cities and neighborhoods designed along the lines of European “café society” have become more desirable. Real estate listings feature “walk scores.” There’s even a noticeable reverse migration from American suburbs back to the cities.

Urban areas with greater density are also fertile ground for clusters of related Mesh businesses to take root and grow. Michael Porter at Harvard studies industry clusters, such as shoes in Milan, publishing in New York, film in Mumbai, and technology in Silicon Valley. In the Harvard Business Review he writes, “Clusters are important, because they allow companies to be more productive and innovative than they could be in isolation. [Clusters] reduce the barriers to entry for new business creation relative to other locations.” The proximity of businesses in an urban cluster speeds up sharing of expertise and labor pools, makes opportunities easier to spot, and promotes cooperation around common market goals. The Mesh, which is built on sharing information, markets, and social networks, is particularly well poised to

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