How “Democracy Of The Marketplace” Works: You Vote With Your Dollars

In America, for better or (mostly) worse, money talks and everything else just sits quietly and listens.

Hell, we’re so stupid about money that we even put it (profit incentive) at the heart of our healthcare system — and we can’t figure out why our system is now the most expensive healthcare system on earth…

Until we fix that problem — money and greed and how they’re screwing up our Democracy — we’ll have to play by money’s rules. So long as the good or service isn’t already monopolized like cable TV used to be, and so long as there’s legitimate choice between legitimately competitive companies offering the same product (unlike old school mattress shopping, for example, with all its bullshitty obfuscations meant to prevent comparative shopping), the marketplace does offer its own form of democratic process. Let’s call it “The Democracy Of The Marketplace”.

I desperately need a widget. Turns out there are three widgets on the market from three different widget-makers. I’m going to have to make a choice. My money therefore will “vote” for one of the three products. That company will get my dollars while the others languish without it and, I expect, quickly go out of business. As if.

But — this being a marketplace — if a million of me do the exact same thing — and most of the widget market goes to one of the three companies, the two also-rans will have to strategize quickly or widget-maker #1 will come looking to finish them off because, from a business-bottom-line point of view, competition is expensive. So — what inspires the “me’s” of the marketplace to vote one way vs the other?

My Jewish family used to chuckle at all the other Jewish families happily driving around in their BMW’s & Merceds Benz’s — luxury cars now made by factories and companies that, during the war, built the very death machines that murdered the relatives of those very Jews. Oy.

And then we bought an Audi. Ya know? Those Germans? They make a good product. And these Germans weren’t those Germans. That’s how we got there, my family. That’s how a product “overcame our resistance” (sales training lingo). All our Jewish families voted with our dollars and our votes said “Germany, we forgive you”.

Take that however you want. It’s simply the Democracy Of The Marketplace. Even Genocide can be accommodated.

That power cuts both ways however. When enough people “rise up” against a product and refuse to buy it, that product goes away — and, often, the company that made it. That, too, is the Democracy Of The Marketplace in action.

Sometimes the Democracy Of The Marketplace speaks quietly but powerfully — without even knowing. Remember Bill O’Reilly? Used to be the top cash cow at Fox News — despite accusations of serial sexual harassment. But, then, something changed. A tipping point. Women became openly outraged at O’Reilly’s behavior and his company’s failure to do anything about it. They went directly at O’Reilly’s sponsors. They stopped buying their products because the sale of those products was helping, in part, to pay Bill O’Reilly’s salary. They decided to STOP voting for Bill with their dollars.

The sponsors are Big Companies of course that rely on selling lots of products to lots of people in order to stay in business. Scale’s important to them. When these Big Companies take a hit, it’s automatically big (it must be if they perceive it as a “hit” to their bottom line). They need to address the cause of that hit. In their case, they were losing significant sales because their products had been co-branded with a man their customers hated.

As “branding” goes — and branding is everything these days — that’s like busting a cap in your own head.

The 21st Century Fox board of directors saw it clearly: their advertisers would no longer support Bill O’Reilly’s show. If Fox News wanted to carry it, they’d have to pay for pretty much the whole thing (except for their smaller sponsors) by themselves. That ain’t their business model. No one’s that indispensable — not even cash cow Bill O’Reilly to Fox News.

Money talks. Fine. My money will not vote for any company that co-brands with racists. I am trying to get as much of my money as I can away from companies that co-brand in ANY way with Donald Trump. It’s a simple fact — a teeny-tiny part of every dollar I spend with, say, Verizon or Home Depot, will end up in the coffers of some Political Action Committee meant to achieve some political end the Big Company wants.

As Bill O’Reilly can tell you — there’s a tipping point in there somewhere. Cross it at your peril.

Too many Captains Of Industry turned out to be pirates. We need to punish the pirates and inspire more captains with a conscience. We need to vote for those companies and their products — even if they cost a few dollars more.

Don’t measure the cost difference only in dollars and cents. There’s another cost element that’s part of the equation — one’s “soul”.

Given a choice between widget A (made and sold by people whose values I share and applaud) and widget B (made by racists, rapists, corrupt polluters and treason enablers), my hard-earned dollar will leap from my pocket to widget A. That’s how certain my vote will be.

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