Market Failures in Fiction?

January 13, 2006

After seeing the heat generated by this post, I was reminded of a discussion I had almost two years ago with Arnab.

Read PG Wodehouse’s autobiography, or his letters, and you’ll notice the importance magazines played in his early career. His novels would often be serialized as magazine stories stretching over several issues before they were released as books.

Is this unique to PG Wodehouse? No, Agatha Christie too got one of her first breaks selling twenty Poirot short stories to a magazine- I forget which one right now. And on the subject of fictional detectives- each and every Sherlock Holmes story or novel originally appeared in The Strand.

What’s my point?

This: the Strands and Ladies’ Home Companions of the past used to serve the same purpose with fiction that Instapundit and Desipundit do today with blogs. They filter the best fiction and deliver it to the readers. If the readers like it, that shows up in letters to the editor and requests for more stories by the same author. Based on his or her magazine career, the author can then start pitching books to publishers.

This has its disadvantages. It’s an indirect way of judging quality. People will buy magazines based on the overall bundle, not just the story they would be running in one particular issue. People might not write back to the editor and report whether they liked a particular story or not. But this imperfect feedback and quality monitoring system is still better than what we have today.

Twentieth century writers had to ‘pay their dues’ and consistently deliver good stories before they would be accepted by the general public and publishers. This placed novelists in the same situations as doctors and lawyers- you had to struggle for years, but if you were good, you hit the big time.

But what is the filtering and quality monitoring process today? There are specialty fiction magazines for sf and other genres overseas, but nothing with a decent circulation in India. Femina with one story a month is hardly a suitable filter.

Instead of filtering being done by readers, it is now done by editors. This means that a great number of Indian novelists will each come out with an average-to-excellent first novel- but very few will match that quality with their subsequent books- as Ravikiran pointed out here.

But when Ravikiran says that society is to blame for tolerating bad novelists, I have to ask: what choice does society have? The mechanism by which it can distinguish consistently good content creators from one hit wonders doesn’t exist.

But that leads to another question: why doesn’t it exist. And this is something I have no idea about.

It could be consumer behaviour- consumers genuinely aren’t interested in going through a huge number of average stories and picking out authors who have the potential to shine in the future. It could be because of business models- maybe nobody has yet come up with a profitable way simultaneously pay authors for stories, generate circulation, get readers to provide feedback, and build advertising revenue. Or the number of writers is too small- which again comes back to the business model- if there is enough money to pay people for their stories, would you see more and better stories?

Ideas for a business model / system of incentives that solves this problem are welcome. If you think I’ve got the whole idea wrong, and that I’m talking crap, you’re also welcome to tell me why.


Municipal Wi-fi

January 11, 2006

Many American cities- San Francisco is the most well known example, but Philadelphia and some others are also planning it- are planning to roll out free wireless broadband networks covering the entire city.

If you have an opinion, please answer the following questions:

  1. Is this a waste of public money? Shouldn’t municipalities be more concerned with providing water, police and fire services, garbage disposal and so on?
  2. Would your answer to question 1 change if the city in question was Bombay or Bangalore or Belgaum or Patiala? Why?

Update: For question two, I don’t really care about the relative waste of public money, or that San Francisco can afford to waste public money. What I’m asking is if internet access is an essential municipal service in the first world and not the third (or two-point-fifth) world.


Data Mining or Dumb Luck?

December 1, 2005

I got this SMS from Airtel today:

Dear customer, Congrats! In appreciation of your long-standing association,we have actvd ISD facility without any additional deposit, w.e.f 23-Nov-05. Thank you

I wish Airtel wouldn’t use SMS-ese in their offficial messages. It’s irritating. But that aside, I’m thrilled I’ve finally got ISD without having to shell out a deposit. I’m on a peculiar plan- it’s a postpaid plan meant for salaried people, but the Airtel sales office offered it to IIMB students. The problem with that is that to activate long distance calls to landlines, or international calls to any phone, you had to deposit your salary slip. Without a salary slip, you had to deposit ten thousand rupees. Ouch.

Anyway, their customer sercive centre calls me every two months or so and tries to sell me an add-on service. I usually decline, but when the call centre would ask if there’s something I’d rather have instead, I used to tell them how irritating it was not to have an ISD facility. Now, they’ve given it to me just for sticking on for fifteen months.

What is now intriguing me is- did they give this freebie to everyone who’s been on for fifteen months, and has paid bills (very substantial bills indeed at one point of time) promptly? Or, did the customer service rep actually flag the fact that I wanted ISD, enter it into their CRM package, which decided that I would like an ISD facility best when it went through the records and saw that I had been on the same connection for fifteen months. What’s more- is Airtel’s data mining smart enough to figure out that if the bulk of someone’s bill comes from national long distance calls, (s)he might be an even juicier prospect for international long distance?

I’m not too sure. Their Karnataka database was pathetic six months ago- the Airtel centre didn’t know how much I had on deposit, how long I’d had roaming, or how long I’d had my connection. My request to terminate roaming vanished into the ether, and I finally did it myself online when they revamped their website (which now works really well). Still, six months is a long time, and maybe they’ve refined their CRM a lot since then.

Does anybody know if this zero deposit on ISD has been offered to more people than me, or about Airtel’s CRM in general? Comment or drop me a line, please.


The Foundation of Civilization

November 29, 2005

The word ‘civilization’ springs from the rood ‘civis’- city, that is. When you get down to it, urbanization and civilization are the same thing. Art and technology are born in the city. When you’re stuck in a village driving a buffalo across a field, you don’t have the time or inclination to come up with anything creative. Pataliputra saw Kautilya writing the Arthashastra, medieval Rome had Michaelangelo painting the Sistine Chapel and in present day New York Arthur Andersen invented creative accounting. The list goes on and on. What have the villages done in all that time? Ten years ago, rural Jalandhar tried, came up with Chamkila, and slunk off in embarassment, not to be heard of since then.

But what makes a city a city? What is the foundation on which civilization rests? What is the one thing that turns a big village into a small city? Who knows what this mysterious secret ingredient is?

Read the rest of this entry »


Competition at the Bottom of the Pyramid

November 15, 2005

Two interesting links. First, MobilePundit links to an Economics Times piece on Bharti and Motorola entering a retail tie-up to sell Motorola handsets. As I mentioned earlier on my old blog, Motorola is selling Bharti the sub-$40 C110 series phones at discounted rates.

Now, Business Standard is reporting that Philips is looking at the bottom of the Indian pyramid, and is trying to gain a lead in mobile phones by coming up with a sub-$20 phone.

I’ll believe a twenty dollar new phone when I see it- there’s a high chance that the Philips CEO is simply putting fart- but the fact that he’s said it it does indicate that there’s going to be competition in this segment. Which is good for consumers, and even better for society in the long run.


Nipples, Brown Eyes and Bastiat

November 14, 2005

I saw Spider-man 2 last week. You might point out that I’ve seen it about a year late. You would be right. But I’m going to write about it anyway.

Read the rest of this entry »