Listen to the podcast:
If everyone in America reads this book, it will be a revolution:
“The Man Who Broke Capitalism: How Jack Welch has crushed the heartland and crushed the spirit of corporate America এবং and how to reclaim his legacy.”
My dream died about fifteen years ago. You know where the stars line up and you become rich and famous. Because I realized that there was no way I could do what I did and get rich. And by modern standards even entertainers are not rich. Billions of rupees cannot be earned by singing.
Now you want to argue with me. Yes, there is Paul McCartney, but he started a few years ago. For Dr. Draw, he has made money on headphones. But I don’t want to go too deep here, because that’s what the rulers of this country want, Poloi, confused by trivial arguments.
My mother always told me I was not one. Always someone smarter, more connected, who knew more. For my father? From a rough upbringing he became so introverted that all he could do was anger. And then try to fill it with love. He was an outsider, and knew it and owned it. If I were looking for directions to be a man in society, they would not come from him. But he constantly poured out business advice, telling me to dig under the surface, because things were often not what they looked like, what everyone was telling you.
So I went to college in the Dark Ages, when the goal was to become a doctor or a lawyer, so that you could set up for life, so that your parents would not have to worry about you. I read in the “Times” this morning that the pay for public defenders is so bad that they have to take a second job to finish, don’t think Watergate’s lawyers have ever been respected again. And even though you’ve read about MDs making makeup boxes, the truth is most are living well, far from the number seven, many are working for the corporation, not even in the middle of the number six, otherwise the paperwork will bury you. If you are an independent practitioner then you are one of the few.
So in the eighties everything started to change with Reagan. He is another man who must be removed from office. This man has destroyed the economy forever, opening the door to income inequality alone. And Clinton, after losing traction after the ’94 election, stopped being progressive and backed right-wing troopers, removing welfare benefits. And then the Supreme Court gave Bush the presidency and it was all over.
Not that any of the aforementioned individuals are that powerful. These corporations rule the world, and now they are multinationals, no one has. And their CEOs are seen as admirable titans.
Michael Eisner did a great job rescuing Disney from recession, but was it worth a billion dollars? Over time he came out of the company as its largest shareholder. How do I do that? Are you going to be that big boss from an employee?
You see the way out of executive pay hazards. And we can credit Jack Welch for that.
Century manager Jack Welch! They called him. Year after year to meet the number of Wall Street analysts.
When I was in law school, my girlfriend’s father gave her a “Wall Street Journal” subscription. I see it as negative because of right-wing politics. But the more I read, the more I became acquainted with the business. This is a different paper now, business coverage in the “Times” is often good, but if you read it regularly you will get an idea of what is happening. Then you need to connect the points to yourself.
So we’re in the go-go nineties after the eighties traction, and this Welch guy is suddenly an icon and I looked a little deeper and I say there’s no way it could be true, this guy is obviously cooking books but did I know? Not exactly what my parents told me, I was an inferior outsider, without all the information, these guys are giants!
Well it turned out it was true. Now everyone knows. We may ask that Welch literally cooked the books, like outright fraud, but it is clear that financial inconveniences were hired to fill the Wall Street numbers, so stockholders would be rewarded!
Let me tell you how it worked, it’s not too hard. Welch invested heavily in financing. And then he would buy and sell things every quarter to create his number. Jeffrey Emelt, his successor, eventually missed his number and his excuse was that they could not make normal financial transactions in the last two weeks of the quarter! I’m just laughing as I write this. People often express their bad behavior if you just let them talk long enough.
Thus, corporations had a partnership with the public, the essence of which was its products and employees were seen as an asset.
But not under the neutron jack.
He first worked as a firefighter. Not only are they losing their jobs, they are destroying the whole community. This number looks even better. And when the numbers looked bad, he just bought things. You will be amazed at how CFO books can work. The recipe was simple: make the size smaller, contract and finance. The end result? GE stocks continue to rise. As for the GE itself? It is being dismantled in the wake of Welch’s efforts. There’s no more now, at least nothing more. And did I mention that Welch made millions of dollars in the process?
Let’s dig a little deeper.
Economist Milton Friedman says a corporation’s only obligation to its shareholders is to make money. So America became a casino, all the work was sent abroad and many of these companies had money in business.
But it gets worse. These companies were making so much flour that they increased dividends and repurchased their shares to make their stock more. And it’s still happening! That’s right, until you make a cash, and then you distribute it and buy shares to increase your stock and get refunded and you get handsome compensation for that! You are making money, but the corporation ??
But it got even worse, GE was seen as the foundation of management skills, you wanted to take charge of a GE Titan. So all these corporations came up with GE talent that used exactly the same recipe then. Can you say Boeing ?? People died there, but Welch’s protgs destroyed one company after another, when they made millions, millions of dollars in the process. Even Warren Buffett, Omaha’s Oracle, he was fired, above all he was the first and foremost an investor!
In other words, admired is almost every CEO who walks around like a king, and they are basically all men, a crook for themselves. Really. How to learn to run a company? They know how to cook books and raise stock prices. The underlying company? Who cares! They are finally fired and get a few million dollars worth of gold parachutes on top of what they paid when they destroyed the company!
Everyone inside knows the above. It’s a club, and as George Carlin says, you’re not in it. Before Welch, CEOs weren’t making this offensive salary. But Jack explained to Wall Street that the pay packages were valuable, after all, see how much money he made for them! Forget the building, don’t think anything of sustaining the underlying company. One of the other things that all of these Welch acolytes do to save money is R&D, research and development, i.e. cutting the longevity of the company.
It gets worse. Welch dismisses 10% of employees each year, creating a working environment. No one will take the time to help someone else, they have to keep their numbers up, they can’t waste any effort.
And it’s not just Welch, what about Jeff Bezos and Howard Schultz? The situation in America is so bad that workers are beginning to unite. Not just uneducated workers, college educated people who can’t get good jobs on their own, get on the corporate gravy train. And instead of embracing the unions, Amazon and Starbucks are always fighting them, they don’t want to give up power at all. That’s right, the rules of the corporation and you are a fan, after all, who else has to believe, the musicians play perfumes and costumes, try to suck the corporation’s tits, laugh at these “singers”, those who do not understand the equipment they are using.
Instead of rebelling against corporations, people embrace them! Get their tattoos. And their leaders, who call themselves “rock stars”, are looking for answers to anything and everything, tell us they know better, when in truth they helped the unknown and start problems! See “Borgen”, politics is a professional game. You need to negotiate for a result. Instead we have got a burden on the Congress who believe in taking the stone country forward. Hell, they should be off for a week and see the last season of “Borgen”.
As I said, the people inside know all this. But there is no book that puts it all together, brings it all together in such a disgusting way. One man, Jack Welch, led a transformation of society much larger than the social problems discussed on TV, that many Americans decide to vote for, if they vote at all.
As a plan for the future? Inventory programs made it at the time when the epidemic hit … there was no supply. Yes, to reduce costs, to increase numbers, to increase stock, corporate CEOs removed everything from the book. The job was outsourced. Someone else made the parts, they took the inventory. Boeing stopped making almost all of its planes indoors and outsourced them to outside vendors. Why? Not that Boeing was doing a bad job, but to save money, to make the numbers look good, to increase the stock, so that the CEO can get richer! The problem that has been talked about … well, hundreds of people have lost their lives in the end, not that these execs regret it when it happens. This was another of Welch’s beliefs, fight, don’t own it, if there’s a problem getting started, it’s not your fault!
But almost no one will read “The Man Who Broke Capitalism.” Because they don’t read books in the beginning. Unless they’re genre tomes, romances, mysteries, if they are! Or self-help from these same people who start by destroying the economy!
And “The Man Who Broke Capitalism”Not the easiest to read, it’s far from difficult, it’s extremely readable, you just have to be interested. And it’s not even long.
And it doesn’t matter if you’re left or right, a Democrat or a Republican. It is not a political issue, the government is allowing these companies to rape and loot without paying any taxes, just controlled. Everyone is influenced by what these companies do.
Be the first in your block. Read “Capitalism Broken People.” You won’t stop talking about it. We have to start somewhere.
Go to archive: