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|User Info||Prison for Rahm, God's Work And Many Others; entered at 2017-12-06 15:27:47|
Registered: 2017-06-27 New York City
Amazon gets away with their practices as have many of the other companies in the past for one reason. Remember the Home Depot scam overbuilding their store base. What were they doing? Burning up investor cash to gain market share. There is a pattern. Gain market share, stock goes up. Once pressure on profits begins to show, start consolidating to make in store gross higher and once again stock price goes up. When this no longer works, start closing stores to lower cost of operations and raise per store profits and the stock price goes up on this news. Purchase competitors to gain more market share and reduce staffing costs further and the stock price goes up. Bankrupt and restructure to eliminate debt and the stock price goes up as the monopolist dominates a sector. Drug store chains also do something similar, perhaps the order changes somewhat.|
I have seen this happen in my industry. Honestly, we needed to look at total compensation as it outpaced inflation. In my firm we were doing so and delivered faster, cheaper and better. The monopolist came in to our market as a deep discounter, backed by the fact that their services were actually high-end, high-service in Europe. They pushed compensation below costs and drove local firms out of business. When all was said and done, they abandoned their efforts in our market leaving a few firms that continue to dominate and less competition than before. The consumers now have less choice and poorer service.
The public gets off on seeing low prices and a service profession charging them less and it would be rightly so if all things were equal. However, the public likes the notion of getting things cheaper and have been taught for the past forty years that this is good and that otherwise they are being taken for advantage. This is in large part due to the fact that if they are employed, this seldom touches them. Ever know someone have their employer reduce their salary or hourly pay. Can I show up at someone's job or union shop and say that I will do the work for less. There are many situation where this would be quite profitable to do. Unless people are laid off and cannot ever find a job which is rather rare in the coastal cities for a very large percentage, they view themselves as a different caste above the class that service them. My group was a profession, but others are drivers (as in **** like Uber), retailers, contractors, etc. This is why scams involving said that spend investor dollars and make slaves out of the actual workers are appealing to this group. They see themselves as the investor class and view low prices as a part of their deserved lifestyle regardless of the fallout that will never touch them, at least in their minds. They are often known as limousine liberals. They have a sense of entitlement. The "investor" class was sold a notion that they are smarter, feeding their ego. Anytime they feel like they have put something over on someone else, they are further validated. Whatever schemes occur they are blind to as their ego is based in this perceived righteousness and the fact that it has become a noble cause as it benefits them. Those who are damaged by the noble mission of lower prices must be less than perfect as they deserve their fate for not being smarter and better. Yes, the human ego works this way.