The return of the bazaar: an old metaphor for a new world

Abstract

Purpose

Mass markets, bureaucratic hierarchy and impersonal factories have provided the foundation for Western capitalism during the past three to four centuries, but long before this, the Islamic bazaar fulfilled many of these functions effectively if not admirably despite substantial cultural, political and economic challenges. Paradoxically, bazaar-like arrangements are reappearing in some of the most advanced sectors of the postmodern world at the same time they persist or surface in several other settings. The purpose of this paper is to consider the causes of this persistence and what it means for managers?

Design/methodology/approach

This paper uses the categories of Geertz’s classic ethnographic description of the Sefrou suq in Morocco buttressed with other relevant sources to compare the attributes of the institutions of classic capitalism described by Weber to the Islamic Bazaar and similar hybrid manifestations found in diverse settings today.

Findings

This study suggests five lessons for modern bazaaris: It is never totally about the money – the importance of multiple currencies in creating productive exchanges. The promise and dangers of clientelism – working with trusted collaborators speeds cooperation but poses the danger of stifling innovation. Private lives, public bonds – how the mechanisms of the bazaar permit diverse partners to collaborate successfully. Everyone is a broker – how participants in the bazaar search out creative opportunities for exchange. Creating safe, random interaction – how the physical and social design of the bazaar safely brings together rivals.

Research limitations/implications

These conclusions are drawn from existing ethnographic, historical and theoretical sources.

Practical implications

Contemporary managers dealing with environments where neoclassical markets and hierarchies no longer work or never fully arrived need to do the same, only more carefully, more consistently and more intentionally.

Originality/value

The legacy of the Islamic bazaar as a viable alternative to mass capitalism and a humanizing force has generally not been recognized in mainline management thought, especially in light of the erosion of the dominant metaphors of market and hierarchy in the postmodern world.

Citation

Nelson, R.E. (2024), "The return of the bazaar: an old metaphor for a new world", Journal of Islamic Accounting and Business Research, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JIABR-09-2023-0301