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|User Info||Brace For Impact; entered at 2012-08-18 06:49:47|
Registered: 2008-03-13 Paris
"So, the takeaway is that the entrepreneurial spirit is alive, it's just that the smart ones understand that the old models are dead, dead, dead and you need to move fast and keep a super-low profile. |
Who the hell is foolish enough to start a capital-intensive business with fixed plants in a country dominated by a political class (and its constituency) that views private capital as a form of milk cow (or worse?) Large, fixed, capital-intensive buildings/plants etc only tie your ass down within a taxing jurisdiction and make you a fat juicy target for the looters."
bsfootprint nailed it. i'm an x'er... an entre'po'nigga... and have been since 1998.
most of us aren't old enough to just 'hunker down' yet. we've got outrageously priced college for our kids to pay for :-) (etc).
the problem with starting a new business is three-fold (for me).
first, anything with a high capital requirement and fixed assets feels VERY risky given where most think the economy is headed over the next 5-7 years. In addition, someone is gonna have to pay for all these older folks as they age, and anything that is fixed (can't be moved) and is a target for future taxation is probably a bad idea -- the older folks have all the votes, dontchaknow?
the second, bigger problem, imo, is that a lot of business ideas are subject to IP theft from the asians...
the third problem (for me), is that it's very hard to get comfortable with what 'money' is going to be 'worth' in 10 years, so spending 80 hours a week in pursuit of it...which is usually what any entrepreneurial endeavor requires...seems a lot less 'sane'.
what you're left with is a very infertile environment for new businesses.
so, what you're left with is:
1.) small mom & pop retail (including beauty salons an the like)
2.) consulting (for other bigger companies usually), and
3.) working directly or indirectly to suck on the .gov teet.
as an aside, when i first got to south america, i was at a party being thrown by a company i helped out (a startup). i was lamenting their lack of entrepreneurial spirit to a local accountant...
he explained that it was rational given that there had been complete 'depression' type financial waves to hit every 7 years or so for as long as people had been alive....it made a lot more sense to just take the job with the government run bank for 60k a year (good money there), go to barbeques, argue about soccer, and be happy.
i resisted that idea for a while, but it seems to be where the u.s. is headed.