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The Persuader
My personal blog, started in 2006. No paid or guest posts, no link sales.
Posts tagged ‘capitalism’
04.12.2019

Martin Wolf, writing in the Financial Times, touches on a few points that resonate with my readings over the years.
He believes capitalism, as a system, is not a bad one, but it is bad when it is âriggedâ; and that Aristotle was indeed right (as history has since proved) that a sizeable middle class is necessary for the functioning of a democracy.
We know that the US, for instance, doesnât really do much about monopolies, having redefined them since the 1980s as essentially OK if no one gets charged more. Hence, Wolf, citing Prof Thomas Philipponâs The Great Reversal, notes that the spikes in M&A activity in the US has weakened competition. I should note that this isnât the province of âthe rightââPhilippon also shows that M&A activity reduced under Nixon.
I alluded to the lack of competition driving down innovation, but Wolf adds that it has driven up prices (so much for the USâs stance, since people are being charged more), and resulted in lower investment and lower productivity growth.
In line with some of my recent posts, Wolf says, âIn the past decade, Amazon, Apple, Facebook, Google, and Microsoft combined have made over 400 acquisitions globally. Dominant companies should not be given a free hand to buy potential rivals. Such market and political power is unacceptable. A refurbishment of competition policy should start from the assumption that mergers and acquisitions need to be properly justified.â
History shows us that Big Techâs acquisitions have not been healthy to consumers, especially on the privacy front; they colluded to suppress wages before getting busted. In a serious case, according to one company, Google itself commits outright intellectual property theft: âGoogle would solicit a party to share with it highly confidential trade secrets under a non-disclosure agreement, conduct negotiations with the party, then terminate negotiations with the party professing a lack of interest in the partyâs technology, followed by the unlawful use of the partyâs trade secrets in its business.â (The case, Attia v. Google, is ongoing, I believe.) Their own Federal Trade Commission said Google âused anticompetitive tactics and abused its monopoly power in ways that harmed Internet users and rivals,â quoting the Murdoch Press. We see many undesirable patterns with other firms there exercising monopoly powers, some of which Iâve detailed on this blog, and so far, only Europe has had the cohones to slap Google with massive fines (in the milliards, since 2017), though other jurisdictions have begun to investigate.
As New Zealand seeks to reexamine its Commerce Act, we need to ensure that we donât merely parrot the US and UK approach.
Wolf also notes that inequality âundermines social mobility; weakens aggregate demand and slows economic growth.â The central point Iâve made before on Twitter: why would I want people to do poorly when those same people are potentially my customers? It seems to be good capitalism to ensure thereâs a healthy base of consumers.
Tags: 1980s, 2010s, 2019, Aristotle, Big Tech, capitalism, consumerism, democracy, economics, economy, Federal Trade Commission, Financial Times, Google, inequality, innovation, intellectual property, law, M&A, Martin Wolf, monopoly, Murdoch Press, occident, philosophy, technology, theft, Thomas Philippon, USA Posted in business, internet, politics, USA | No Comments »
03.07.2019

The car Lee Iacocca will be remembered for, the 1965 Ford Mustang on the right.
Before I found out about Lee Iacoccaâs passing, on the same day I Tweeted about one of the cars he was behind when he was president of Ford: the 1975 US Granada. Basically, Iacocca understood that Americans wanted style. That really was at the core of his thinking. Itâs also why the Granadaâreally a warmed-over, restyled Falcon that had its roots in the late 1950sâwas always compared to Mercedes-Benz models. It was a mass-market American pastiche of the German car, with the same size. It had a grille and hood ornament. But it was frightfully slow, underpowered, and heavy, one of the most inefficient cars that Americans could buy.
Itâs the antithesis of the Mustang, which Iacocca arguably spearheaded, though in his autobiography, he noted that so many people claimed to be the father of the Mustang that he didnât want to be seen with the mother (or words to that effectâthe bookâs next to my partner whoâs already gone to sleep as I write).
That was a stylish car, too. It was a Falcon-based coupĂ©. But it could be specified with the right power to match its looks, and it was priced and marketed brilliantly. Ford hit a home run, and Iacoccaâs reputation as a car industry guru was sealed.
He was also the man who came up with the idea for the Lincoln Continental Mark III. No, not the 1950s one (which technically wasn’t a Lincoln), the one that came out in the 1960s (Ford didnât really follow a sequential numbering systemâremember it went Mark, Mark II, III, IV, V, III, IV, V, VI, VII, VIII). The idea: stick a Rolls-Royce grille on a Thunderbird. It beat the Cadillac Eldorado, and Iacocca finished the â60s on a high.
I felt that history hadnât been kind to the Mustang II, which also came out under Iacoccaâs watch. The fact was it was a salesâ hit, at a time when Detroit was reeling from the 1973 fuel crisis. No V8s initially, which in the 21st century looks like a misstep; in 1974 it would have looked smart. Growing up, we didnât think the II was as bad as history remembers.
But the US range was, in some ways, lazy. GM was downsizing but Iacocca noted that people were still buying big cars. To give the impression of downsizing, Ford just renamed the Torino the LTD II. Look, itâs a smaller LTD! Not really: here was yet another car on old tech with another pastiche luxury-car grille.
When Iacocca was fired from Ford, he went to Chrysler, and pulled off his greatest salesâ job yet: to secure loan guarantees from the Carter administration and turn the company around with a range of modern, front-wheel-drive cars. The K-car, and its derivatives, were a demonstration of great platform-sharing. He noted in his autobiography that Chrysler even worked out a way to shave a tiny amount from the length to fit more Ks on a railroad car. And Iacoccaâs penchant for style re-emerged: not long after the original Plymouth Reliant and Dodge Aries, there were fancied up Chrysler LeBarons, and a woody wagon, then a convertible, the first factory US one since the 1976 Cadillac Eldorado. Most importantly, Chrysler got the T-115 minivans on sale before Renault got its Espace out, though after Nissan launched the first MPV, the smaller Prairie. Nevertheless, the minivan was an efficient family vehicle, and changed the face of motoring. Iacocca was right when he believed people want style, because itâs the SUV that has succeeded the MPV and minivan. SUVs are hardly efficient in most circumstances, but here we are in 2019, with minivan sales projected to fall, though Chrysler has managed to stay the market leader in its own country.
Chrysler paid back its loans years early, and it was under Iacocca that the company acquired American Motors Corp., getting the Jeep brand (the real prize) in the process. And itâs thanks to François Castaing and others who came across from AMC that Chrysler wound up with its LH sedans, the âcab-forwardâ models that proved to be one of the companyâs hits in the 1990s.
While having saved Chrysler, it was burdened with acquisitions, and in Iacoccaâs final full year as Chairman Lee, the company posted a $795 million loss, with the recession partly to blame. The press joked that LH stood for Last Hope.
Itâs an incredible record, with some amazing hits. They do outnumber the duds. But what really mars it is an incident of sexual harassment I learned some years ago that never appears in the official biographies. Now, I donât have a sworn affidavit, so you can treat this as hearsay. But until I heard that from a good friendâthe woman who was harassedâIacocca was a personal hero of mine. I bought the autobiography. I could forgive the financial disgrace Chrysler was in for 1991âone year out of nearly a dozen isnât a bad run, even though the writing was on the wall when so much money was spent on acquisitions, hurting working capital.
I know, his daughters and their kids wonât appreciate what I just said. That it’s wrong to speak ill of the dead, especially when they can’t answer back. You could say that that was the era he was from, in an industry steeped in male privilegeâhis boss at Ford, Henry the second, was carrying on an affair behind his wifeâs back. You might say that one incident that I know of shouldnât mar this incredible business record. He has left his mark on history. Itâs just when it happens to one of your own friends that itâs closer to home, and itâs hard for me to offer the effortless praise I would normally have done if not for that knowledge.
Tags: 1960s, 1970s, 1980s, 1990s, business, capitalism, car industry, cars, Chrysler, culture, finance, Ford, history, Lee Iacocca, obituary, sexual harassment, style, USA Posted in business, cars, culture, leadership, marketing, USA | No Comments »
06.01.2016

How interesting to see a silly Tweet of mine make the Murdoch Press and lead an opinion columnâIâm told it even hit the news.com.au home page.
Itâs a very old joke that Iâve told since 2002, when I walked along Bay Road in Kilbirnie and saw a locksmith sign in Futura. Back then, Dick Smith Electronics had its logotype set in ITC Avant Garde Gothic. I really thought it was a Dick Smith sign at a first, fleeting glance, seeing CKSMITH. The joke was born.
Most in my social media streams got it except a couple of Australians who had likely come across it via Murdochs a day late, one calling me ignorant (not sure how you can get that from one Tweet), and another âaholeâ (is this a misspelling of aloha?). As the funniest guy in their media is John Clarke, who was born in New Zealand, maybe humour doesnât reach a couple of households there if it has to be imported. And the number of times Johnâs taken the piss about us, to my thorough enjoyment, means that some of us can take a joke. Perhaps we just have a sense of humour. We have to: it was the only way we could deal with our PM appearing on The Late Show with David Letterman. It is, to quote the man, âa bit of banter. No drama.â
The false indignation âon behalf of othersâ is always a comical one, because itâs usually founded on a misplaced and unjustified sense of superiority. During a political campaign, theyâre the ones I find the most humorous and least authoritative. Thick skin came with that territory.
Neither deserves a response beyond what I said on Twitter, but the second one (with a fresh new account to troll from, always a good sign of someone who wonât stand by their words) highlights a point that I have made on this blog before.
âRuby Pondâ notes, âThe guy is pure Oz and started when you were in nappies and tried! Stick to your foreign companies, they really help Oz.â Iâm not sure what I was tried about, not having been to court while I was in nappies, but maybe sheâs depending on the fact that not everyone remembers back to their infancy.
Well done. She got this from an American-owned newspaper website (remember, Rupertâs no longer an Australian, nor is the HQ in Australia and hasnât been for a long, long time), and, for the record, Iâm not as old as the business that Dick founded. Thereâs also a suggestion that I must be Australian, because, after all, everyone on the planet must be. No other countries exist. I didnât want to get into trans-Tasman rivalry in such a situation, nor was it appropriate to give a list of Australian corporate misdeeds in New Zealand. The term off-topic springs to mind.
I told her, âStick to your foreign media, they really help Oz.â
Hers is that simplistic thinking that gets people supporting foreign-owned businesses when they believe they are supporting local ones.
Dickâs been one of my personal heroes since his solo helicopter flight and Iâve been a customer of the chain he founded since I was old enough to buy my own tech gear. Entrepreneurs like him are the ones Iâve always encouraged, through mentoring and through my policies. However, the sad story of the company, no longer owned by Dick, is one of corporate greedâwhich the founder himself has been critical of. We havenât learned the lessons of so many economic crises: Gordon Geckoâs mantra of âgreed is goodâ continues to drive the corporate world.
The reason so many multinationals buy local brands is to fool the public into thinking theyâre supporting their own. Weâre guilty of it ourselves, and I recall using the examples of Just Juice and most of our local newspapers on this blog. People closed accounts at the National Bank when it became ANZ here, because of a suspicion of, dislike of, or rivalry with Australia, perceiving National to be a local bank. The problem there: ANZ had owned the National Bank for years before the rebranding of its own subsidiary, and prior to that it was part of Lloyds TSB in the UK. A lot of Australians think Ford and Holden are domestic players (though, oddly, not Toyota, which probably builds as many, if not more, cars there), just as many Britons still think they are buying British when they shop at Ford and Vauxhall.
The situation with news.com.au differs slightly in that that business was started in Australia by Rupert Murdochâs Dad, and it has grown from thereâbut the fact remains that its HQ is overseas and thatâs where it pays its tax. Help to Australians: not a lot. The Murdoch Pressâs globalization agenda wonât be one that the âbuy Australianâ crowd would support for the most part.
But this is how brands work, because they encourage us to make mental shortcuts for the products and services we consume. Iâve devoted a good deal of my professional life to it. Some should encourage scrutiny because of the power they have (Wally Olins noted, many years ago, how some brands need to adopt notions that were once reserved for states), and it was hoped that, post-No Logo, we would be more inquisitive about the backgrounds to the organizations we support.
Even though it’s our money and time, the sad thing is that this level of inquiry remains the province of the few, those people who are willing to scrutinize their own behaviour and practise what they preach. Social media have helped spread news of corporate misbehaviours (Volkswagen will attest to that) and more people are aware; but to counter that we get more information than we ever used to, and unless something resonates, will we just forget it?
Therefore, it can only be something where people who have done the proper investigation get to have a say. And like all human endeavours, it can be scammed, so safeguards have to be built in.
One of the reasons the Medinge Group awarded its Brands with a Conscience accolades for close to a decade was to champion the organizations that were getting it right, inviting transparency and scrutiny, championing good corporate citizenship, and engaging in socially responsible programmes. Among them were companies devoted to doing things right by the communities they were present in, whether it was Dilmah Tea, Tata Steel or Hennes & Mauritz.
By our championing them, selected by a think-tank of leading brand professionals, we would be able to highlight shining examples of branding, as well as give them the sort of boost they deserved. If positive companies could increase their custom, and if positive non-profits could increase their influence, then we can do some good in the world.
As people rightly want shortcuts in their busy daily lives, then the work at Medinge, if seen as an endorsement, would help them make a decision about whether to deal with that organization or not.
Itâs nice to be in that bubble, which makes me ever-grateful to get reminders that we still have a lot of work to do. If youâre genuinely desirous of helping your own, then we need to help create more ways of reminding people which organizations do just that. The Brands with a Conscience programme was definitely a very good way of doing it. What shall we do, in the post-peak-Facebook world of the second part of this decade, to get word out? Is it through video, thanks to greater bandwidth, that allows us to experience and understand more? Is this the coming of age of some form of virtual reality? Or, as we did when we first started exploring bulletin boards and email, time again for us to reach out to people in communities very foreign and different to ours through video chatsâsomething like Google Hangouts but actually with people? (Yes, I know, Google fans, I was taking the piss.) Is Skype the service on which this can be built?
I would have said that technology is the great democratizer, and maybe more of us should be giving out awards to truly deserving organizations, voted on by more of the public. But we come across the issue of quality versus quantity again: the Reputation Institute surveyed 60,000 people in 15 countries and still wound up with NestlĂ© among the most reputable firms in the world. NestlĂ© may do very good things in some quarters, but it hasnât been able to avoid a lawsuit by environmental and public interests groups in California over its water-bottling operation there, or accusations by activists who believe the company wants to privatize water at the expense of public health. Volkswagen was there in the 2014 survey. We decide on image, and that image is the very thing that gets us making bad choices.
The next innovators are already on to it, and we donât even know that we seek it. But, in order to self-actualize, maybe organizing usâindividuals, not corporationsâinto global communities is the next stage. We have seen Kiva work so positively, so how about making it more interactive? Naturally we will tend to choose to help those in our own countries firstâcrowdfunding campaigns show us thatâbut allowing us to understand another human beingâs situation could be the challenge in a time when governments pursue their austerity agenda. Somehow, we can restore, at least to some degree, the optimism we had when we in the first world accessed the World Wide Web for the first time.
Tags: 2016, ANZ, Australia, banking, branding, Brands with a Conscience, business, capitalism, car industry, commerce, corporate culture, corporate social responsibility, CSR, Dick Smith, Facebook, Ford, globalization, GM, Holden, image, internet, Kiva, localization, media, Medinge Group, Murdoch Press, national image, NestlĂ©, New York, NY, Skype, social media, social networking, Toyota, UK, USA, Vauxhall, Volkswagen, Wally Olins, World Wide Web Posted in branding, business, cars, culture, globalization, humour, internet, marketing, media, social responsibility, technology, UK, USA | No Comments »
13.11.2015

I can be staunch on IP protection in a lot of casesâbut in the case of Martin Shkreli of Turing Pharmaceuticals AG hiking the price of an Aids drug from $13·50 to $750 per pill, not so much (for obvious reasons). If youâre in pharmaceuticals, then there has to be some element of wanting to benefit enough of humankind so that they can be, well, alive to better societyâor, if you want to be monetarist about it, so they can consume more products and services. Whichever side of politics youâre on, productive people are a good thing for everyone except the armsâ industry. Yet the pharmaceutical industry is the one thatâs trying to patent natural ingredients and phenomenaâand thatâs a step too far. It was something we were taught at law school that could not happenâhow can a corporation own nature?âso for the industry to challenge both that jurisprudence smacks of greed. If you didnât originate it, you shouldnât be able to own it. Even if it could be protected, nature has been around long enough for that protection to have lapsed. Patenting genes? Please.
Sure, everyone has the right to make a buck from intellectual endeavours, but their track record needs to be a lot cleaner. Why was there so much opposition to TPPA et al? Because there had been far too many cases of corporations taking the piss when it came to basic rights and established laws, and governments havenât upped their game sufficiently. I love the idea of global trade, the notion âweâre all in this togetherâ, but not at the expense of the welfare of fellow human beings. Simply, I give a shit. Hiking the price of something that costs $13·50 to $750 is laziness at the very leastâletâs profit without lifting a fingerâand being a douchebag at the worst. And I donât believe we should reward either of these things.
I have a friend who is against vaccinationsânot a position I agree withâbut his rationale boils down to his mistrust of Big Pharma. And why should he trust them, with these among their worst cases? (As far as I know, he doesnât oppose other forms of IP protection.) Somewhere, thereâs something that kicks off various positions, and corporate misbehaviour must fuel plenty.
Meanwhile, hereâs Martin Shkreliâs point of view, where he doesnât see his actions as wrongful, as told on Tinder, and as told by Yahoo. His view is that Turing isnât making a profit and he needs to find ways where it does. He has a duty to his shareholders. It seems incredibly short-termâone would hope that innovation is what turns around a pharmaceuticalsâ businessâand we come back to the notion that it all feels a bit lazy.
A version of this post originally appeared on my Tumblog.
Tags: 2015, business, capitalism, globalization, health, humanity, intellectual property, IP, law, nature, politics, society, Switzerland, trade, USA Posted in business, leadership, social responsibility, USA | 1 Comment »
17.06.2014
My forced Facebook sabbatical came to an end in the late morning. So what did I think of it all?
One of my Tweets last night was: âI hope [it is temporary], though I have found people out for 7â12 days now. Now itâs Monday I hope they have got over their hangovers!â At the time I thought: this Facebook is probably not a 24-hour operation. These guys are probably off for the weekend, and they work part-time. We might see them on Monday morning, US time, or whenever they come back from Thanksgiving, Memorial Day, Bill Cosby Day, or whatever it is they celebrate over there. Oh, itâs California, so they are probably stoned.
Sixty-nine hours werenât quite enough to break my habits, though they were beginning to change. No more was I looking up Facebook in bed before I go to the office, or having a quick gander at night. But on the desktop, I left one tab open, which would always draw me there to have a glance at what friends were up to.
The timing was a bit exceptional: we had the top 23 pages for the Miss Universe New Zealand 2014 finalists to launch. Had it not been for that, I wonder if I would have bothered with Facebook at all. I had queries to field, direct messages to respond to.
The direct messaging is obviously separate from the rest of Facebook, as it was the one thing that hadnât failed. But everything else was worsening: initially losing liking, commenting and posting, then losing the fan pages I administered. Friends could not see my wall, while a few who could see it tried to like things and were given errors. Aside from a few exceptions, no one seemed to think this was out of the ordinary and worth chatting to me about. Not that I mind this: they could all get in touch with me via other media. But this signals that it is OK to get an error when liking something, and shrug it off as temporary, because we believed Facebook when it told us to try again in a few minutes. Never mind that in Facebookland, âa fewâ means 4,000. We have low expectations of these dot coms.
So when people joke about how these things always tend to happen to me, I wonder. Iâve always maintained they happen to us all. Maybe the difference is I donât believe these buggers when they tell me that things will be back in a few minutes, because invariably they donât. So I put an entry in to Get Satisfaction, or on this blog, so others donât feel they are alone.
And if I had found the limits of the siteâbecause I believe on Vox I did in 2009, when exactly the same thing happened, and the techs had no way outâthen Facebook should know about this.
Facebook was, through all of this, useless. It had closed down its Known Issues on Facebook page, which seemed foolhardy, because this certainly was a known issue with the increasing number of Tweets about it. There were no acknowledgements, and most of the time, feeding anything into its report forms resulted in errors. Sometimes I got a blank screen. Its own help pages told you to do things that were impossible. If it were any other firm, people would be crying bloody murder or wanting their money back. (And I am technically a customer, through my mayoral campaign last year.)
A few other accounts came back, for the people I interacted with on Twitter and Get Satisfaction in the same predicament.
So what now? I might Facebook less. The 69 hours were a good reminder. One of the things I had watched during the sabbatical was the following video via Johnnie Moore, where Douglas Rushkoff speaks about how these big innovators arenât really adding value, only capital. He gives the example of Twitter:
The company that was going to be the maker of things now has to be the site where he aggregates the other makers of things ⊠so that you can show multi-billion-dollar returns instead of the hundred millions that you were doing ⊠You know, for Twitter, I just saw yesterday, they’re failing! Only $43 million last quarter! Isn’t that awful? Oh my God! Only $43 million, which is, I mean, how many employees do they have? I think that would be enough but their market cap is so outlandishly huge, so much money has gotten stuck in there, that they’re gonna be stuck looking for a new way to somehow milk more money out of an otherwise great tool and they’re gonna kill it. They have toâthey have to, âcause they need that home run.
Can we expect there to be greater innovation in such an environment, for any of these platforms? If we arenât feeling the same buzz we once did with these sites, thereâs a good reason, and the above is part of the problem. They arenât creating value any more, only market cap and stock, or, as Rushkoff says, âstatic capital.â
This is what [Thomas] Piketty was really writing about ⊠Capital has the ability to actually create profit, so all these companies, all this development, are really just different versions gaming the system rather than rewiring the system, rebooting it, which is the opportunity here.
I spent part of the last few days looking at the PDF proofs for Lucire Arabia, where at least I know I am part of making something that is creating value and, through its content, helping people. While my original motive for being on Facebook et al was promotional, for my businesses, I have to question if that was the best use of my time, and for creating value. Facebook organized my friends, as Google organized the webânow that those are done, there is the next step.
I left Voxâor rather, Vox left me when the site died and I was no longer able to postâand put more time elsewhere, namely into my first mayoral election campaign. I knew I was creating an opportunity to help people, and the upshot of that is the free wifi system we have in Wellington today (ironically probably very heavily used to update Facebook). It meant more than a means to Facebook and Instagram: the bigger picture was to signal to the tech sector that Wellington is open for business, and that we arenât being left behind in an industry that can create frictionless exports and intellectual capital.
We arenât quite there again in 2014, as Facebook is back, but it may be worth contemplating just where Iâm creating value for business and society when itâs not election year. This year, I don’t have a book plannedâbut it may have to be something where a good bunch of people are going to get some benefit.
Tags: Aotearoa, California, capital, capitalism, Douglas Rushkoff, economics, Facebook, Jack Yan, Lucire, Lucire Arabia, market capital, mayoralty, New Zealand, politics, Silicon Valley, social media, social networking, Thomas Piketty, USA, value, Wellington, Whanganui-a-Tara Posted in business, internet, New Zealand, politics, publishing, technology, USA, Wellington | 2 Comments »
12.12.2010
As I watched actress Liv Ullmann read Liu Xiaobo’s address, ‘I Have No Enemies’, on BBC World, I was quite moved.
The address is what the Nobel Prize-winning author and intellectual delivered prior to his sentencing by a Red Chinese court for subversion.
What is fascinating is the dignity with which the words are written, showing respect even to his prosecutors.
Liu even discusses how the human rights in the prison at which he is held have greatly improved since the first time he was locked up there, saying that the ‘enemy mentality’ that Red China once held is disappearing in favour of a more humanist approach.
Given that he knew he would be found guilty just before Christmas 2009, the address is remarkable for the hints of optimism he holds for his country.
Liu Xiaobo will not, by himself, see through a wholesale change in the way the Communist Party is running mainland China, but he is representative of many forces which will, some day, make the country freer and more open.
He is also representative of the area with occident and orient disagree: human rights. While those campaigning for Liu’s release should not stop, his address puts a lot of things into context.
Mainland China, as it opens up, has tried to find a balance between governmental intervention and the market-place. Even Confucius has been partially recognized by the Politburo as a way to reinforce the state’s position, somehow reinterpreted along the lines of: we bring you prosperity, you give us your loyalty.
As much as the internet is patrolled, there is a tendency for people to wish to be more free, and blacking out TV screens behind the Bamboo Curtain or resorting to censorship simply makes people wonder what they are missing.
Where the country might yet succeed, however, is keeping a firm hand on change. Instead of the rush that saw to the collapse of the Soviet Union, Beijing is being pragmatic. As unbridled globalization and a corrupt, conspiratorial financial system has seen to two economic downturns in the last decade, and as the US’s politics move to extremes, the occident is giving fuel to Beijing’s methods. That’s not something that we should feel happy about, nor should we tolerate our commerce being run to further class structures in our societies.
Liu has been likened to Nelson Mandela by Nobel committee chairman ThorbjĂžrn Jagland. Mandela made a similar speech on the eve of being sentenced to treason in 1964. While Liu has his supporters, and I do not proclaim to be any expert on South African history, my feeling is that the former president was known to far more of his own people. There are also other differences to the other Nobel winners who have not been able to attend, be they Carl von Ossietzky, Andrei Sakharov, Lech Walesa and Aung San Suu Kyi.
The chief difference is that fewer of us living in the occident in 2010 can be as smug or as preachy. While I support calls for Liu Xiaobo to be releasedâthe jailing of a man exercising the same rights you and I do in criticizing our governments shows, in my mind, the weakness and insecurity of the critiqued rĂ©gimeâthere is a real lesson for the rest of us.
We cannot be in a position to insist on change if we keep supporting governments that weaken our own approaches to human rights. If we vote in a government that widens the distance between rich and poorâand history has more than often shown us which doâthen we are letting down our most downtrodden citizens. If we fail to tidy up the mess our business sectors have left in their wake, then we are simply allowing their mistakes to recur.
For every failure we chalk up because we let things remain the way they are, the more Beijing’s politicians can sit back and accuse us of hypocrisy.
Tags: 2010, author, capitalism, China, Confucianism, freedom, globalization, history, human rights, liberty, Nelson Mandela, news, Nobel Prize, Norway, Oslo, politics, press freedoms, Red China, South Africa, technocracy, USSR Posted in China, culture, internet, media, politics | 17 Comments »
02.11.2010
I still have Adam Curtisâs The Mayfair Set, a TV series charting the decline of British power and the rise of the technocracy, recorded on video cassette somewhere. I consider him someone who can see through the emperor having no clothes, and in The Mayfair Set, he certainly saw through the Empire having no clothes.
As I type this, John Barryâs âVendettaâ is going through my head as an earworm: the series used this piece as its theme tune.
On my friend Keith Adamsâs Facebook page was a link to Curtisâs blog at the BBC website, titled with a reference to another song, this time from Maurice Jarreâs Doctor Zhivago score. Curtis begins by saying that he uncovered a 1977 film about two British Leyland workers heading to Togliattigrad, where the ĐОгŃлО (Zhiguli, or Lada to those of us outside the Soviet Bloc) was built.
At Togliattigrad, the managers used the chaos that was allowed to prevail to set up their alternative economic structures to line their own pocketsâand corruption was rife.
He writes, âWhat then happened is murky, but it is alleged that the managers in effect looted their own factory.â
So far, so good. It read as a story about the bad old days of communismâtill Curtis draws the clear parallels between Togliattigrad and what happened in the last days of the remnants of British Leyland. The Phoenix Four used money meant for the plant for themselves.
Curtis again: âThe Phoenix directors systematically restructured the business. They did it in a way that ensured that many economic benefits flowed not to MG Rover and the thousands of workers, but to the directors themselves and the man they appointed chief executive of MG Rover.
âThe [government] report [into the collapse of MG Rover] is over 800 pagesâand it is a fascinating snapshot of our time. It lists all sorts of schemes with names like “Project Slag”, “Project Platinum” and “Project Aircraft”âall of them designed to try and bring profits not into MG Rover but into the holding company set up by the Phoenix consortium.â
No more western superiority here: chaosâwhether in the political, social, cultural or commercial realmsâbreeds opportunity for many. The trick is always to ensure that the opportunists are those who can put things right, rather than selfishly benefit themselves.
Some might see Curtisâs blog entry as a criticism of the monetarist, technocratic systemâas was The Mayfair Set.
But it is equally a story about how the absence of transparency breeds systems that benefit the fewâregardless of whether the background is communism or capitalism.
These are themes that we at the Medinge Group explored as early as 2003 in Beyond Branding, written in the wake of the Enron collapse. Weâve partly stayed on the same theme over the last eight years, because history shows us that transparency is often the enemy of inequity and unfairness. And even the technocracy.
Tags: 1970s, 1977, 2005, BBC, Beyond Branding, branding, capitalism, car industry, cars, communism, corruption, history, Jack Yan, John Barry, Keith Adams, Medinge Group, MG, music, retro, Rover, Russia, Soviet Union, technocracy, transparency, TV Posted in branding, business, cars, leadership, politics, TV, UK | 1 Comment »
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