Recursive network economy

The recursive network economy is a concept that promotes organic growth within a network through cyclical interactions between autonomous nodes. These nodes - at TEIKEI, for example, ordering communities, producers and logistics centres - work independently and are simultaneously part of a larger network. This enables the system to develop dynamically and flexibly without centralised control.

Basic principles:

  • Decentralisation: In the recursive network economy, all units act autonomously and are interconnected at the same time. This enables flexible and adaptable structures in which decisions are made at a local level, which strengthens the resilience of the network.
  • Self-reinforcing cycle: Every action within the network, such as sharing knowledge, processing an order or founding a new community, brings new value to the system. This cycle ensures continuous improvement and strengthens the communities.
  • Cell division and self-regulation: When a community reaches a certain size, it is divided into smaller, more manageable groups through natural cell division. This promotes flexibility and prevents the individual units from becoming overloaded. An ideal size is around 400 people, as psychological studies have shown that this is a limit beyond which the sense of community diminishes.
  • Co-operation and collaboration: The success of any community depends on co-operation with other nodes in the network. Knowledge, resources and support are shared to strengthen the entire network.

Advantages for TEIKEI:

  • Resilience: Thanks to decentralisation, TEIKEI can react flexibly to disruptions and the network remains stable even if a node fails.
  • Sustainable growth: The network grows through natural cell division without excessive use of resources. This fits in perfectly with TEIKEI's values, which are based on sustainability and fairness.
  • Efficiency and less bureaucracy: The self-organising structure of the network minimises bureaucratic hurdles and each community can react flexibly to its local needs.

The recursive network economy means that everyone in a network works together and learns from each other. When a group produces something or shares knowledge, it helps the other groups in the network and the entire network becomes stronger as a result. This means that there is never any idle time, everyone shares their resources and if a group becomes too large, it splits up so that everything continues to function well.