m u s i n g s

Just saw this Tweet

Rebick: (I assume Judy Rebick - I cannot find the quote)   "They're trying to change the world, who cares if they break a few bylaws?" (via @RyanEmberley)

Watched as much of the OWS, and Toronto and DC as I could.

Am definitely not opposed to heavily criticizing the US financial institutions. The Canadian scene is quite different as we all know. Yes, in Canada, as in other parts of the world, there is an ever-widening gap between rich and poor. Always will be. We individuals can only be responsible for the outcomes of our acts. Unless you were born a Thompson, Eaton or Molson. But most of us were not. We all had to fight for ourselves. And still can. In fact probably your moral duty to be as good as you can be.

Demonstrations certainly cause change - women's right to vote, segregation changes, gay rights, animal rights etc etc Furthermore, a demonstration pointing out the evils of corporate greed are fine and dandy. But we do have laws. WE made the laws. If we want the laws changed we can certainly do that. But not bec ause a small group finds the laws inconvenient. I for instance find it very inconvenient to have to pay for certain goods at stores. Hell it is only a chocolate bar? Why can't I take it?

Anyway, every time I hear the words "corporate greed" there is a tiny voice in my head that screams.

"ENHANCING SHAREHOLDER VALUE!!!!"

So who are these shareholders exactly? Well, probably you and me and your dad and Mom and the next door neighbour and larger ones that that matter (by invested dollars and girth) e.g. the teachers pension fund. Oh and all sorts of other union funds. (Unions are the guys that were there supporting the occupy folks - I see a tad bit of hypocrisy here.

Hang on! So if they are the shareholders of these corporations,

 http://www.otpp.com/wps/wcm/connect/otpp_en/Home/Investments/Major+Investments/Corporate+Shares+%28Alphabetical+listing%29/

... then aren't they the ones pressuring the corporate executives of each of those companies to do what ever it takes to "ENHANCE SHAREHOLDER VALUE!"  (I hate that voice screaming in my head.)

Here is the background on that mess. (Never been a fan of Mr Welch - I think he is a bully.)

http://en.wikipedia.org/wiki/Shareholder_value

I do love this quote

History

On August 12, 1981, Jack Welch made a speech at The Pierre in New York City called ‘Growing fast in a slow-growth economy’.[1] This is often acknowledged as the "dawn" of the obsession with shareholder value. Welch's stated aim was to be the biggest or second biggest market player, and to return maximum value to stockholders.

In March 2009, Welch criticized parts of the application of this concept, calling a focus on shareholder quarterly profit and share price gains "the dumbest idea in the world".[2] Welch then elaborated on this, claiming that the quotes were taken out of context.[3]

And as it turns out probably a very slippery character!

I know about this stuff - having run two public companies where the shareholders wanted "X" and "Y"  returns no matter what. No matter what it took. 

Basically screw everyone, we want our ROI and our dividends. And worse they want a return in months (like quater to quarter) not long term - as in years. 

So lets not be to quick to point fingers at the greedy. Maybe you* have help cause this mess?

 

* If you own shares, mutual funds or other investment instruments, you are probably a shareholder.