Competition

Competition

A new era

Economics of scale is something that is widely known in commerce, finance, manufacturing, economics, and virtually anywhere value is exchanged. The recent pandemic is however increasing the popularity of another concept known as "Economics of scope". A common piece of advice is that you create expertise in one thing and do it so well that it becomes your competitive advantage. Economics of scope however tilts towards the "jack of all trade, master of none... But better than one" rhetoric as it emphasizes the need to create an ecosystem of value in order to leverage that as a competitive advantage.

A recent example of the economics of scope is LinkedIn's plan to create a freelancing platform to compete with the likes of Upwork, Fiverr by leveraging its huge database of highly skilled professionals and connecting them with "one-off" freelancing opportunities. I would say it's about time LinkedIn competes in the freelancing space, LinkedIn's acquisition of Lynda (now LinkedIn learning) coupled with the upcoming freelancing platform is one that shows that the era of obsessive specialization is coming to an abrupt end. As humans, we have the potential to excel in multiple endeavors through sheer force of will, it's only normal for organizations run by such a species to act the same.

As developers, this also means that there's an increased opportunity in having and maintaining a digital presence on LinkedIn, it also means that we should leverage the fluid nature of knowledge in tech by creating projects in other languages outside of our specialty. We all have a favorite language which we believe we have the most affinity for, however, by not exploring what's out there we are leaving a lot of value on the table and basically closing ourselves in.