Well, when I was learning about economics being 8 or 9 year old, it seemed for me how it should be.
A person or a group knowledgeable in some area find a bottleneck, some problem to solve, start a company, it grows, it becomes big. Then the next generation is what they pick for leadership, and picking people is always worse than the evolutionary mechanism of a company finding some bottleneck to be widened being gunshot faster than the rest. Then they pick their replacement. And so on. Eventually it dies, but since technologies are patented, they do not become actual secrets, only commercial secrets, and by the time a company dies the patents expire, so everybody can replace it for the humanity.
The niche that company discovered thus becomes competitive.
In our world, if patents would expire as fast as they did initially by design, these big companies would already be dead.
But they’ve bent the rules to make patents virtually eternal and thus big zombie companies are strangling the humanity.
The system wasn’t bad, but eventually power changed it.
You are missing economies of scale. In most industries these create a significant barrier to entry. The patent may expire but the equipment is still expensive.
The more I see MBAs taking c-suite positions, the quicker the company collapses. Seen it more than six times now in person, and countless in the news.
I wonder how long before they notice.
The people who make those decisions are insulated from the consequence
Forcing them to take responsibility is the only solution
Wall St destroys yet another company through sheer greed. Film at 11.
Well, when I was learning about economics being 8 or 9 year old, it seemed for me how it should be.
A person or a group knowledgeable in some area find a bottleneck, some problem to solve, start a company, it grows, it becomes big. Then the next generation is what they pick for leadership, and picking people is always worse than the evolutionary mechanism of a company finding some bottleneck to be widened being gunshot faster than the rest. Then they pick their replacement. And so on. Eventually it dies, but since technologies are patented, they do not become actual secrets, only commercial secrets, and by the time a company dies the patents expire, so everybody can replace it for the humanity.
The niche that company discovered thus becomes competitive.
In our world, if patents would expire as fast as they did initially by design, these big companies would already be dead.
But they’ve bent the rules to make patents virtually eternal and thus big zombie companies are strangling the humanity.
The system wasn’t bad, but eventually power changed it.
You are missing economies of scale. In most industries these create a significant barrier to entry. The patent may expire but the equipment is still expensive.