Saturday, February 20, 2010

Some observations on corporations

Corporations are easy to part with jobs. Remember the merger of HP and Comaq? At least 10,000 jobs lost in that deal. But the executives got fat bonuses. Corporations will layoff employees if they think that would increase their stock value for the short term. You know, pump and dump.

I've also been watching a corporation, called The SCO Group, sue IBM over software code that it doesn't even own. 7 years of litigation for a company that spent two years in discovery to find 230 lines out of millions of lines of code in Linux. All they really want is to get in front of a jury to exhibit a drama about a small company against a big company for a big fat award. SCO thinks it can hide behind the corporate veil. And during this litigation, board members and executives took bonuses, sold stock, and profited very well at the expense of everyone else.

Corporations are socialism, pure and simple. They socialize their liabilities and privatize their profits. Have you heard of the phrase, "externalizing costs"? Walmart is famous for that sort of behavior. And now that the courts think that corps can donate to political causes because they're "persons", it's only going to get more interesting. In my opinion, if you enjoy the privilege of limited liability, then you're NOT a person. End of story. You simply can't morally have limited liability and the same rights as real persons.

But then again, I could be wrong.
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