What has happened to competition in the business world?
Life is a competition from the time you are born until the day you die. The day you are born your parents fight over your affection, you then compete with your parents for their affection. As you grow you play games with your parents and the objective is to win. You go to school and the competition widens because there is more people fighting over a smaller universe which you are no longer the center of attention.
“Competition is, in general, a contest or rivalry between two or more organisms, animals, individuals, economic groups or social groups, etc., for territory, a niche, for resources, goods, for mates, for prestige, recognition, for awards, for group or social status, or for leadership and profit. It arises whenever at least two parties strive for a goal which cannot be shared, where one's gain is the others loss (a zero-sum game)”
“In economics, competition is the rivalry among sellers trying to achieve such goals as increasing profits, market share, and sales volume by varying the elements of the marketing mix: price, product, distribution, and promotion”.
What do Michael Jordan, Tiger Woods, Tom Brady and thousands of other athletes, movie stars’ successful business people all have in common? They are the hardest workers and the most competitive. Not only are they better but they never want to give up that edge, they tirelessly work at their profession and maintain their edge.
I remember an America that was the same way, our small businesses, innovators and entrepreneurs outworked everyone to create success. Small business owners let nothing stand in their way, they outworked and outperformed the competition to bring the best product or service to the market. Small business was the core of American business, some of the small companies grew into the largest companies in the world, many failed started over and failed again. But Americans worked and many small businesses still exist today and support families and generations.
Somewhere along the way the small business has been destroyed. There are many reasons the small guy is being wiped out, thank Government, The FED and Regulations. Today we blame Obamacare which is a major problem, however this problem has been growing at epidemic proportion’s
The America I remember many companies competing in the same marketplace for the same customers. The customer was always right. Competition was the key, the fight for the customer made products, service and price better. Today there is no customer service, when you call a company you don’t get a person you get voicemail. Customers are treated as more of a nuisance then a valued consumer.
The continuation of cheap money for the too big to fail has wiped out the competition, in fact the big guys are trying to wipe out all the small guys, through regulations, price wars and any other edge they can gain. In retail, it’s Amazon and Walmart, they run over everybody and now operate with an unfair advantage through government and banking regulations. The big banks have an unfair advantage over small banks, true competition has disappeared.
The FED's policies along with government regulations has destroyed a true competitive market place. As usual because of the FED and the government we the innocent consumer must pay more for less and those who want to run a small business have a smaller window to compete. Cable TV and Health Insurance are perfect examples of a business with no competition, which is why we must overpay.
Keep those stops tight
Todd “Bubba” Horwitz
The views, opinions and positions expressed by the author are theirs alone and do not necessarily reflect the views, opinions or positions of Pro Farmer.