
Relationship Building, Network Cities, and Leveraging Competitive Advantage with Mark Lutter
06/26/23 • 54 min
Charter Cities Institute Founder and Chairman Mark Lutter returns to the podcast to share his perspective on network states, charter city trends, and more. Mark is also the CEO of Braavos Cities, a charter city development company partnering with local landowners and a leading organizer of Zuzalu, a new pop-up city in Montenegro. Tune in today to hear Mark’s insights on existing network states and why they have either succeeded or failed. You’ll also learn about some of the challenges associated with attracting appropriate talent to cities in order to facilitate growth. Mark shares his experience at Zuzalu and describes the flat hierarchical structure that was made possible there. Using the metaphor of gardening instead of carpentry, Mark illustrates his unique approach to building network cities. Hear how Mark differs from others in the charter city space on the matter of location and his analysis of the global response to the 2020 COVID-19 pandemic. As our episode draws to a close, Mark reveals his thoughts on restarting struggling economies, finding buy-in from local government, and more. Thanks for listening!
Key Points From This Episode:
- An introduction to today’s episode with CCI Founder and Chairman Mark Lutter.
- What Zuzali is and how it came together with reference to Vitalik Buterin and Balaji Srinivasan.
- Defining the terms ‘pop up city’, ‘pop up village’, and ‘network state’.
- How the historical failures of network-type states influence Mark’s feelings.
- Examining the examples of Israel, Utah, Salt Lake City, and Jonestown.
- Considering why San Francisco is especially susceptible to cults.
- Why Mark returned from Montenegro and Zuzalu with optimism for network states.
- How the internet can behave as a giant sorting mechanism.
- His predictions for how sorting mechanisms will change in the future.
- The problem of attracting appropriate talent to cities.
- Why Montenegro was the chosen location for Zuzalu.
- Building Zuzalu whilst building local relationships.
- The role of the host government in the success of Zuzalu.
- Where the name Zuzalu came from.
- Flat status hierarchies in network cities and other agglomerates.
- How they managed to sustain a flat hierarchy at Zuzalu.
- What it means to think like a gardener and not a carpenter.
- What Braavos Cities is and what it aims to do.
- Where Mark differs from other folks in the charter city space on the matter of location.
- Two migration patterns to tap into.
- The greatest successes of the COVID-19 pandemic and what could have been adopted instead.
- Distinguishing between Charter Cities Institute and Braavos Cities.
- Restarting an economy through leveraging comparative advantage.
- Getting buy-in from local government.
- Job creation and investment.
- The Zanzibar project that Mark is excited about at the moment.
Links Mentioned in Today’s Episode:
Charter Cities Institute Founder and Chairman Mark Lutter returns to the podcast to share his perspective on network states, charter city trends, and more. Mark is also the CEO of Braavos Cities, a charter city development company partnering with local landowners and a leading organizer of Zuzalu, a new pop-up city in Montenegro. Tune in today to hear Mark’s insights on existing network states and why they have either succeeded or failed. You’ll also learn about some of the challenges associated with attracting appropriate talent to cities in order to facilitate growth. Mark shares his experience at Zuzalu and describes the flat hierarchical structure that was made possible there. Using the metaphor of gardening instead of carpentry, Mark illustrates his unique approach to building network cities. Hear how Mark differs from others in the charter city space on the matter of location and his analysis of the global response to the 2020 COVID-19 pandemic. As our episode draws to a close, Mark reveals his thoughts on restarting struggling economies, finding buy-in from local government, and more. Thanks for listening!
Key Points From This Episode:
- An introduction to today’s episode with CCI Founder and Chairman Mark Lutter.
- What Zuzali is and how it came together with reference to Vitalik Buterin and Balaji Srinivasan.
- Defining the terms ‘pop up city’, ‘pop up village’, and ‘network state’.
- How the historical failures of network-type states influence Mark’s feelings.
- Examining the examples of Israel, Utah, Salt Lake City, and Jonestown.
- Considering why San Francisco is especially susceptible to cults.
- Why Mark returned from Montenegro and Zuzalu with optimism for network states.
- How the internet can behave as a giant sorting mechanism.
- His predictions for how sorting mechanisms will change in the future.
- The problem of attracting appropriate talent to cities.
- Why Montenegro was the chosen location for Zuzalu.
- Building Zuzalu whilst building local relationships.
- The role of the host government in the success of Zuzalu.
- Where the name Zuzalu came from.
- Flat status hierarchies in network cities and other agglomerates.
- How they managed to sustain a flat hierarchy at Zuzalu.
- What it means to think like a gardener and not a carpenter.
- What Braavos Cities is and what it aims to do.
- Where Mark differs from other folks in the charter city space on the matter of location.
- Two migration patterns to tap into.
- The greatest successes of the COVID-19 pandemic and what could have been adopted instead.
- Distinguishing between Charter Cities Institute and Braavos Cities.
- Restarting an economy through leveraging comparative advantage.
- Getting buy-in from local government.
- Job creation and investment.
- The Zanzibar project that Mark is excited about at the moment.
Links Mentioned in Today’s Episode:
Previous Episode

Industrialization and Assimilation with Dr. Elliott Green
Industrialization has a myriad of consequences that have been studied and speculated upon from the very start. In this episode, Dr. Elliott Green joins us to discuss the impact of industrialization on ethnic identity and diversity. Dr. Green is a political scientist, Africanist, and associate professor in the Department of International Development at The London School of Economics. He is also the author of the book Industrialization and Assimilation and today, we learn about his research and insights on the topic. We delve into the Marx-Geller take on industrialization and find out how Dr. Green conceptualizes it and why he promotes pro-industrialization. We discuss the implications of urbanization without industrialization in Africa and how people use their rural identities as insurance against de-urbanization before investigating the cause of “under-urbanization” in countries like Kenya and Uganda. From the measures of industrialization and its relationship to economic growth and identity formation to the effect of decentralization on assimilation, Dr. Green tackles it all! Tune in for this insightful conversation on all things industrialization and identity.
Key Points From This Episode:
• Introducing political scientist and Africanist, Dr. Elliott Green
• The topic investigated in his book Industrialization and Assimilation: the consequence of Industrialization in terms of ethnic diversity.
• How Dr. Green’s take on industrialization differs from that of Marx and Geller.
• Why we have differing levels of ethnic diversity across the world.
• The implications of urbanization without industrialization in Africa.
• Cases of de-urbanization in Africa and how people use their rural identities as insurance against it.
• Which African regions have the highest and lowest levels of urbanization.
• What can be attributed to the “under-urbanization” of countries like Kenya and Uganda.
• Why Dr. Green promotes pro-industrialization and how he conceptualizes industrialization.
• The relationship between economic growth and industrialization.
• Other measures of industrialization.
• How industrialization generates broader processes of identity formation, irrespective of politics and religion.
• The overlap of religious and ethnic identities in 20th century Turkey.
• Instances where industrialization and nation-building do and don’t go hand in hand.
• Government attempts to create ethnically neutral cities.
• Why trust is essential for development.
• Dr. Green’s take on the “markets make us moral” hypothesis.
• To what extent decentralization can affect assimilation or ethnic change.
• How the “completion” of industrialization will (or won’t) impact identity.
Links Mentioned in Today’s Episode:
Industrialization and Assimilation
Magnetic Mountain: Stalinism as a Civilization
Next Episode

Private Cities: A New Frontier in Urban Development and Governance with Martin Rama and Yue Li
Host Jeffrey Mason welcomes esteemed guests Martin Rama and Yue Li to another enthralling episode of Charter Cities. Together, they embark on a deep exploration of the intriguing world of private cities, delving into their impact on urban agglomerations and the delicate interplay with local governments. Tune in today to hear their insights on the successes and challenges that private cities face, as well as the potentials that lie ahead. Through engaging discussions and vivid examples, our hosts and guests will illustrate the multifaceted landscape of private urban development. Martin and Yue share their perspectives on how private actors are reshaping urban environments and the intricate dynamics that govern these relationships. As our episode unfolds, the conversation navigates the complexities of urban development, revealing the key facts and insights surrounding this captivating subject. Thanks for listening!
Key Points From This Episode:
- The significance of private cities as major urban agglomerations with political constituencies
- The push for a voice and a shift towards traditional cities as the population grows
- Resistance against converting successful private cities into traditional ones
- Strategic underinvestment by private actors in services, relying on government provision
- Evolution of institutions between private actors and local governments
- Designing private cities to offer improved services and environments
- Willingness of residents and firms to pay a premium for land
- Benefits for developers or companies through increased land value
- Exploration of different private city models and demographic focuses
- A historical look at private cities and their reemergence in modern times
- Examples of private cities in both advanced and developing countries
- An overview of private cities and their types in various countries
- Focus on initial research in South Asia, including India and Pakistan
- Indonesia's status as the country with the highest number of private cities
- Categorization into company towns, strategic cities, and mixed cities
- Prevalence of strategic cities in Indonesia, with some in India
- An analysis of economic activities and government support in private cities
- Various economic activities spearheaded by the private sector
- Efforts to seek favorable treatment from the government
- The role of special economic zones and infrastructure support
- Strategies to attract specific industries and investors
- The urgent need for empirical research on economic dynamics and inequality
- Tentative conclusions and a call for further research
- Definitions and challenges associated with private cities
- Contradictions with typical city governance run by local government
- The leading role played by private actors in planning, financing, and service operation
- Challenging but not new conventional notions of city governance
- Public-private partnerships (PPPs) in private city governance
- Topological studies, inventories, and governance evolution within private cities
- Variations in roles and functions between the private sector and local government
- Land value capture and equity issues in private city development
- The viability and underinvestment associated with value capture limitations
- Creative equity solutions, such as preserving original residents or project shares
- Exploration of alternative value recovery and fairness mechanisms
- The challenges faced by local governments in designing effective value capture strategies
Links Mentioned in Today’s Episode:
The Asian Infrastructure Investment Bank
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