Māori Economic Wisdom: Tauutuutu as a Model for Relational Dynamics in Business

Tauutuutu promotes a perpetual cycle of reciprocal, mutually beneficial transactions that form the cornerstone economic exchange in Māori society. The term combines two foundational elements: ‘tau-,’ implying reciprocity, and ‘utu,’ which can be translated as to pay or repay (amongst other meanings). Two pivotal ‘social currencies’ emerge from Tauutuutu: mana and mauri. While ‘currency’ is used here to describe them, both mana and mauri transcend contemporary understandings of the term. They function as profound cosmic forces driving the operations of Tauutuutu. Mana denotes an individual’s or group’s authority, prestige, or dignity. When leaders and their communities foster and preserve mutually beneficial relationships, they accumulate mana. Thus, mana catalyses a mostly mutual, yet competitive, dynamic within Māori society.

Mauri represents the animating essence of any entity—whether a person, water body, or ecosystem, reflecting the inherent capability of organisms and ecosystems to sustain and produce life. If a value exchange involves nature, the currency is mauri. Exchange can bolster or deplete an environment’s mauri, equivalently establishing a societal responsibility to counteract that disturbance.

Every exchange under this system births a reciprocal and progressive obligation. In receiving a good or service, the recipient is responsible for reciprocating with an item of similar or superior value at a subsequent time (Metge 2002). This reciprocity fosters and prolongs the bond between the parties involved. Tauutuutu facilitates the exchange of goods and services and fortifies social unity through a staggered, amplifying exchange system. Essentially, tauutuutu encourages early investments with the potential for promising future yields.

Neglecting this obligation or offering an inadequate return can result in a significant loss of mana. Such a loss can profoundly affect an individual’s standing within Māori society. Moreover, reciprocating with a more valuable item can magnify one’s mana. Consequently, transactions typically escalated, with each exchange becoming progressively more valuable (Metge 2002). Essentially, Tauutuutu encourages early investments with the allure of promising future yields. Consequently, mana can be envisioned as the catalyst of economic expansion in the traditional Māori economy (Harmsworth and Awatere 2013).

Through this system, balance, albeit temporary, was traditionally attained as obligations oscillated between participants. The overarching objective wasn’t a static equilibrium but dynamic, fuelled by a perpetual urge for escalation. While mana propelled this equilibrium, balance can be assessed through mauri. Mauri isn’t static but interactive; it flourishes or dwindles based on interactions. Harmony is achieved when exchanges benefit both parties. Mauri is a yardstick that monitors if exchanges sustain, revive, or disrupt this balance.

Tauutuutu also balanced various regional resources—both natural and human. Exchanges often included geographically dispersed goods and specialised expertise (Kawharu 2000). Importantly, since generosity, not hoarding, amplifies mana, surpluses tend to be more communal than individual (Reid and Rout 2016). Tauutuutu doesn’t hinder economic growth; instead, it assures collective accumulation and balanced dissemination of wealth.

Tauutuutu emphasises the importance of reciprocity and balance (Metge 2002). It underscores the need for decisions to be mutually beneficial, ensuring that all stakeholders are considered and outcomes are equitable. This model of economic exchange can have profound implications for inter-organisational relations. The success of Tauutuutu is evident in the robust relationships that served iwi for hundreds of years and still underpin the most successful Māori enterprises today. However, it is also possible to demonstrate a clear link between a tauutuutu model of exchange and business exchange by drawing parallels to a similar concept in Western science known as Social Exchange Theory. Social Exchange Theory (SET) posits that successful social exchanges are based on reciprocity, trust, and commitment. SET also provides a long and robust evidence base demonstrating that businesses promoting these values are more successful than those not.

In a follow-up article, I will draw parallels between SET and tauutuutu, illustrating how integrating these two models creates a robust foundation for successful enterprises. I will also demonstrate use cases for impact investors, supply chain management, procurement, and strategic business partnerships. Notable enterprises such as Miraka, Kono, and Ngāi Tahu Holdings exemplify the success of business models grounded in tauutuutu. Promoting tauutuutu as a model for relational dynamics in business offers a superior alternative to existing frameworks under the banner of ESG or corporate sustainability and is worthy of close consideration.


References:

Harmsworth, G. R. and S. Awatere (2013). “Indigenous Māori knowledge and perspectives of ecosystems.” Ecosystem services in New Zealand—conditions and trends. Manaaki Whenua Press, Lincoln, New Zealand: 274-286.

Kawharu (2000). Māori and State visions of law and peace. Indigenous peoples and the state: International perspectives on the Treaty of Waitangi. M. Hickford and C. Jones. New York, Abingdon: 13-29.

Metge, J. (2002). “Returning the gift—Utu in intergroup relations: In memory of Sir Raymond Firth.” The Journal of the Polynesian Society 111(4): 311-338.

Reid, J. and M. Rout (2016). Māori tribal economy: Rethinking the original economic institutions. Unlocking the wealth of Indian Nations T. L. Anderson. Maryland, Lexington Books: 83-104.

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