An Introduction into the Role of Public Markets

The role of public markets in how they create prosperous cities. Public markets have existed throughout past civilisations and were instrumental in the rise of Madina, Andalusia and the Ottoman empire.

Transcript

1. The
   Role
   of
   Public Markets in creating prosperous cities by Khuram Malik An introduction to
2. I
   proffer marketing is a myth. With good and open distribution, there is no case or need for marketing.
3. This
   is
   Haleema Single mother with four children Unemployed No daycare for kids, no job, limited welfare Creative
   &
   Talented
   Has a great product idea with proven market demand
4. Himalayan Pink
   Salt Full of nutritional benefits, no side effects, just as cheap as ordinary salt, reliable and dependable supplier.
5. Proven
   Demand Product sells well amongst family, friends and friends of friends Well
   Packaged Elegant packaging, pleasing to the eye Sells
   itself Easy to understand value proposition, so the product sells itself and is a no- brainer
6. Now requires mass distribution through stocking on supermarket shelves
7. Find Economic Buyer Complete successful trial
   Persuade buyer/pitch and
   herein
   lies
   the dilemma how do you get your product to the mass market now that you've solved the most important steps?
8. Constraints Economic
   Buyer Finding an economic buyer and then persuading them is a garguantan task in itself. (They're overloaded with requests for stocking) Budget There is no budget for mass marketing as the incumbents have huge advertising budgets
9. Item 1 Item 2 Item 3 Item 4 Item 5 40 30 20 10 0 and somehow even if you manage to navigate all of this, you have to agree to unfavourable terms of the retailer and share a large chunk of your gross margin(s) with them
10. thus Haleema is completely "land-locked"
11. The Madina Template
12. The
    Suq The public market, that is neither privately owned nor state-owned. It belongs to the people. It is a Waqf. Level
    playing
    field Stalls are impermanent and are available on a first-come, first-served basis. No
    fees No fees for a stall, no taxes and no charges. Complete barrier-free entry
13. When pointing
    to The
    Masjid and The
    Suq (public market) Rasool
    (SAW)
    said.. "These two are a sadaqah for the people"
14. "nine-tenths of your rizq come from trading" He
    (s.a.w.)
    also
    said:
    
15. If
    you
    want
    to determine
    the prosperity
    of
    a city,
    look
    at
    its marketplace(s) [paraphrased]
    Ibn Khaldun
16. The
    rules
    of governance
    of the
    Suq
    
    are
    similar
    to
    that of
    the
    masjid
    
17. The
    Messenger
    of
    Allah,
    sallallahu
    ‘alayhi
    wa
    sallam, said:
    “Markets
    should
    follow
    the
    same
    sunna
    as
    the mosques:
    whoever
    gets
    his
    place
    first
    has
    a
    right to
    it
    until
    he
    gets
    up
    and
    goes
    back
    to
    his
    house or
    finishes
    his
    selling."
18. You
    cannot claim
    a permanent spot
    and deny
    others
    
19. You cannot deny entry to people because you feel some are more deserving of elevation over others The marketplace cannot be privately owned by one individual or company and so on... Just
    as
    in
    the
    masajid You cannot pay to reserve a spot and deny others You do not have to pay a fee to have a place to trade You cannot take up all the space for you and your "friends"
20. This
    is
    why advertising
    was considered 'ugly'
    in
    Madina
22. Public Markets ֎ Circulating economy ֎ Inter-exchangeable roles between buyer and seller ֎ High Velocity of Money ֎ Natural Credit Formation ֎ Purchasing Power Increase ֎ Natural Growth Supermarkets ֎ Extractive economy ֎ Non-exchangeable roles between buyer and seller ֎ Low Velocity of Money ֎ Institutionalized Credit ֎ Purchasing Power Decrease ֎ Induced Poverty
25. When
    the
    Ottomans
    wanted
    to
    build
    a
    new
    city,
    they built
    an
    Imaret
26. Mosque
    +
    Suq
    = Imaret
27. Kapalıçarşı (Covered Market, in Turkish). Built between 1455 (shortly after the conquest of Constantinople) and 1561 It was endowed as a Waqf for the benefit of the Aya Sofia Mosque, to stimulate economic prosperity in Istanbul. The
    Grand
    Bazaar of Istanbul
28. 31,000 sq m of covered market space 61 covered streets with over 3,500 additional stalls. 5 mosques, 7 fountains, 18 gates. 29 hans or caravanserais (market-hotels for foreign traders). The
    Grand
    Bazaar of Istanbul
29. Vakil
    Bazaar
    Shiraz Bazaar
    of
    Tabriz Bazaar
    of
    Isfahan Other
    historic
    Public markets
30. Yiwu The Largest Public Market in the Belt and Road Initiative (China)
31. Approx half the size of London in geographical size (in sq metres) 80,000+ stores with 1.8m categories of goods 300,000 visitors a day Yiwu Fact sheet
32. Everything starts in 1982 It took ten years to show the changes that were maturing. Mostly the creation of an new entrepreneurial spirit. From the early 90s the changes are visible and the city starts to grow rapidly.
33. The blockchain becomes
    the trust
    broker
    No
    need
    for privatised "middlemen" platforms
    Direct relationship with
    your customer The
    Future The blockchain can serve an important role in the creation of public markets
34. Amazon Uber AirBnB Do
    away
    with...
35. An
    Islamic Economy cannot exist without the public markets
36. Public Markets
    Dinar
    & Dirham
    Guilds Qirad The
    Route
    to Prosperity Public markets come first in the steps to re-establish Muamalat