Adam smith’s “Invisible Hand” in modern day

The “invisible hand” is what keeps free market economy running successfully. It says that if the government does not interfere with public business, economic issues will naturally work themselves out. Individuals are motivated by their own self-interest which is the biggest reason this theory actually works in real life and not just on paper. This furthers public welfare because a thriving economy equates to a successful people. Successful people look for a need in society and they fill it. If what they are doing has no demand then change will be the natural progression in order to follow the money and fulfill their own self-interest. This is the invisible hand guiding their steps to fill needs in society while also filling their pockets with a greater income which is the underlining motivation.

The internet has changed the world forever working in tandem with the invisible hand and does not seem to be stopping anytime soon. One of the ways it has changed business is with online stores and their use of drop shipping products directly to the customer. This created a symbiotic relationship with a manufacturer of a product and the marketing, salesperson. The manufacturer did not know how to advertise their product effectively online and the salesperson did not know how to create a quality product. Using the drop shipping method, the manufacturer could focus on creating more of their product thus making more money. The salesperson now having a quality product could do what they do best. Sell! An online store is simply digital marketing with a URL.

Thirty years ago, this concept was still fairly new and not a lot of people did it. So, getting into the business was fairly easy and very profitable. Now the invisible hand is changing its availability. While ecommerce is still a booming business model it is very saturated so only the best tends to be successful in it. This business platform has taken an interesting evolution. No one was doing it so it was easy for unexperienced people to make a lot of money thus attracting people to the job. Now there are lots of people doing this and the invisible hand is at work making competition fierce thus driving up the quality of the drop shipping industry.

The space exploration industry has been run by government corporations like NASA ever since the beginning. Now thanks to private companies with progressive thinking the invisible hand is starting to make competition greater. Consequentially, making strides towards better rocket ships, technology, and the possibility of becoming an interplanetary species a reality. In 1969 when humanity first landed on the moon all the nations of the world were competing to land there first. Furthermore, there was a driving force that made progression happen, but after that it slowed down. Now with CEO’s like Elon Musk tiring of government programs not fulfilling their duties at the level they ought to. Private companies are putting their best foot forward with the help of their systemic partner the invisible hand.