This month’s Fast Company has an article on how HP stole the outsourcing contract for P&G’s technology systems and data centres away from favoured EDS and IBM. The article pinpoints five tactics that made the difference:
These tactics are useful advice for any small enterprise trying to go head-to-head with much larger competitors. Here are a few more from my own experience:
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September 18, 2003
HOW TO COMPETE WITH THE BIG GUYS
PEER-TO-PEER MUSIC SHARING LEGAL IN CANADA
Jay Currie, writing in TCS, points out that peer-to-peer file-sharing is legal in Canada, by virtue of an agreement several years ago that imposed a compensatory tax on blank storage media. Here’s a summary of the legislation:
What this means is that, even if the RIAA is successful in its mean-spirited attempt to sue Americans that allow music to be downloaded from their servers and hard drives, Americans can simply turn to Canadian servers to get their music fix. One more reason why suing your customers doesn’t make sense. |
September 17, 2003
SPEECH! SPEECH!
A great speech has seven qualities:
The last great speech I heard or read was this one. It has all seven qualities. I keep looking for more. I listen to political speeches. I selectively watch and listen to news analyses, read op-eds, attend lectures, watch dramas and comedies looking for these qualities. I read voraciously. There are few great speeches. There is more good writing in the blogosphere than in the mainstream press, network television, the universities, the business rubber chicken circuit, or the mainstream parties’ political podiums. I wonder where the good speech-writers have gone, or whether it has simply become a lost art. When he accepted the Irving G. Thalberg lifetime achievement award at the Oscars four years ago, Norman Jewison spoke briefly and brilliantly about the importance of writing excellence in the arts and the entertainment industry. The sad irony is that the media barely mentioned his speech. The awards, and the media attention, was all about the actors, not about those who craft the content they merely deliver. |
September 16, 2003
‘FREE’ TRADE VS. PUBLIC HEALTH
You may have read (if you were playing close attention — it wasn’t well publicized) that Bush has reduced his promise to provide Africa with low-cost AIDS medicine from $3 billion this year to under $2 billion, allegedly because the continent’s medical distribution system can’t ensure it will be equitably distributed. The cutback will cost 10,000 Africans their lives this year, more if the reduced ‘appropriated’ amount isn’t actually spent. The subsidy of drug costs has the pharmaceutical companies and ‘free’ trade supporters justifiably concerned.
This isn’t the only area where so-called ‘free’ trade is opposed to the interests of public health. The US FDA recently prohibited Americans from purchasing drugs in Canada. They had to do this because the Canadian standard of living (at least as measured by purchasing power) is 20-40% less than that of Americans, so in order to get market share in Canada, multinational drug firms have to sell their product at commensurately lower prices in Canada. The Canadian government regulates prices to ensure this happens, as does every country in the world except the US. Same product, lower price, in a country that is part of NAFTA, the great leveler of all things. As a result, the free market has adapted to the distortion: Hordes of grey-haired Americans come up to Canada on tour buses every weekend, not to see the sights but to get their needed prescriptions cheaper. The tech-savvy ones have gone further, buying them from Canadian distributors on the internet. The FDA, goaded by the drug conglomerates, has tried to use every method in its arsenal to prevent this, but the market works pretty efficiently, so now Americans are buying Canadian addresses to get around the FDA prohibition of selling drugs from Canada to American addresses. Sounds a bit like the RIAA game, doesn’t it? Now the public sector is getting on the bandwagon. The governor of Illinois is planning on buying its drugs from Canada as well, for all state employees, saying: “If you can buy the same drug made by the same company, and it is safe and it costs less, then that makes sense.” The FDA’s response was typical scaremongering — this guy sounds like someone on the pharmaceutical payroll:
Aw, gee, Mr. Hubbard, you’re all heart. What if everyone started doing this? The sales of the pharmaceutical firms would drop 20-40%, they would have to adjust their US price to the lowest global price, and their profits would disappear. The pharmaceutical companies’ answer, of course, is to require all countries in the world to abandon their price caps on pharmaceuticals. Don’t think that’s not on the agenda of the secretive WTO talks going on now. The consequence of this would be uniformly high prices everywhere, bankruptcy of most of the world’s egalitarian health care systems, and lots more deaths of those that can’t afford to pay monstrous prices for life-and-death medicine so that pharmaceutical companies can research new designer drugs like Viagra for the rich who can afford them. It’s just one more example of the lunacy of ‘free’ trade. It’s heartening to see that the developing nations of the world are catching on: Last weekend 21 of them walked out of the WTO talks in Cancun when the US and EU refused to end the $300 billion (conservative estimate) in annual agricultural subsidies they pay to farmers to allow the US and EU to undercut local agricultural producers in the third world. Western leaders, whose domestic employment is being destroyed by cheap foreign imports and the export of jobs to the third world, need to re-invest that $300 billion in local job creation and support for domestically-consumed products. Although the multinational corporations would cry foul if they did so, the people — everywhere in the world — would be winners. |
September 15, 2003
VO – THE ADVICE EDITION
Hot off the presses,the latest edition of Virtual Occoquan, the Blogosphere’s premier online journal. The Advice Edition Where You Can Learn: How to Spruce Up the Back Yard – Molly South
How to Make a Jack and Coke – Chef Ho How to Build a Spider’s Web – Christopher Key How to Cook for CBS – Julie Powell How to Grow Pineapple – Paul Hinrichs What to Say to Depress a Thief – Leslie Talbot How to Grow Old with Grace – Christopher Key How to Move On – Claire Smith I Learned Critical Thinking from Ann Landers – Catnmus How to Change Anything – Dave Pollard What is the Poetry of Friendship? – Chuck How to Deal With the First Days of School – Rayne When to Run Like Hell – Amanda Brightwell How to Approach Serendipity – Lindsay Marshall How to describe a totally alien Culture? – Dick Jones How to Salsa Dance with Latinos – Camilo Advice for Foreigners Moving to the US – David Harris What to do if You are Homeless – ihatemylife What to Visit in Washington D.C. – Matt Henry Using Sex Toys Without Spoiling the mood – Julia Deckham Gray Bashing the Bishop – Arabella O’Buggery How to Find Your Place in Space/Time/Love – Judith Meskill Interview: How to be a Not-Porn-Star – M Hoback & Darla1972 What to Ponder in the Night – Carlos Arribas How to Survive a Hurricane – Rich How to Manage the Pitboss – D. G. Johnston How to Fix the Country – Steve Raker How to Handle a Crisis – Kriselda Jarnsaxa How to Tell You’ve Taken a Wrong Turn – Paul Hinrichs How to Escalate Non-violence Through Community – Natasha Should I Campaign for Lieberman? – Rayne How to interpret the Presidential Message – World O’Crap How to Reform the Education System – Dave Pollard
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IT’S TIME TO STOP THE CORPORATIST RACE TO THE BOTTOM
It’s time to make the export and the elimination of American jobs the number one political issue in the 2004 campaign. It threatens the social fabric of the country, and represents everything that’s wrong with excessive corporate power, the undue influence of the rich, the privatization of everything, and so-called ‘free trade’. There is a massive political and psychological fraud being perpetrated against the American people, and it goes like this:
The endgame of this insane and out-of-control abuse of power is a cowed, beaten, unemployed and underemployed American workforce, the unraveling of decades of social programs and standards, privatization of all public property to a small corporate elite, and the destruction of the environment. This is the proverbial race-to-the-bottom, achieved through a barefaced coup that turns over all power, all wealth and all resources, resources that rightfully belong to all Americans, to a tiny elite. And the final ignomy is that Americans, turfed from well-paying professional and technical jobs that are eliminated or exported to the third world, can only afford with their drastically reduced income to buy the shoddy, inferior products produced by the equally downtrodden third-world labourers who took their jobs. It must be stopped. Americans must start working together to use the only resources that haven’t already largely slipped from their control — their votes and their dollars — to stop the coup and take back their country from rapacious corporations and their political handmaidens. To do this they must:
Politicians will only learn to behave responsibly when they are held to account by informed citizens, and forced to wean themselves off the patronage of corporate elites. Corporations will only learn to behave responsibly when they are stripped of legal and tax protections that encourage them to behave otherwise, and lose in the marketplace to businesses that put people and community welfare above profits. This problem is not unique to the US. It is as global as the reach of the corporations that created it. But the 9-point prescription above that can solve it is universal. It applies equally in every country in the world. |
September 14, 2003
THE U.S. ECONOMY: DANGER — TRAIN WRECK AHEAD
Even more troubling than Bush’s political blinkers in Iraq is the stunning recklessness of his economic program, which has in less than three years turned a $280 billion surplus in the last year of Clinton’s reign into a record $650 billion deficit forecast for 2004, and a forecast $5.6 trillion surplus for 2011 in Bush’s inaugural speech into a forecast debt that Newsweek’s economist conservatively estimates to be $7.4 trillion by 2013. This is a staggering reversal, five times larger than any such reversal in history, and it was caused by an unpropitious mix of unforseeable events and utterly irresponsible spending — notably massive tax cuts for the rich and rash war adventures in the Mid-East. What is most distressing is that Bush’s team continues to cling to the discredited (by virtually every mainstream economist in the country) Reaganomic belief that a huge tax gift to a tiny handful of billionaires will somehow ‘trickle down’ to the average American and reverse the economy’s precipitous slide.
It’s even worse than that. There is every indication that the metrics used to measure economic health and danger are now obsolete and horribly flawed: While these old measures suggest the recession is over, poverty and layoffs are skyrocketing and it is increasingly clear that the ‘recovery’ is not only not ‘trickling down’ to mainstream Americans, it is being made on the backs of those Americans. Productivity is ‘improved’ by the charade of laying off millions of American workers, exporting millions more jobs to third world countries (more on this in my blog tomorrow), and hence recording increased profits and pushing the already wildly overpriced stock market to levels of sheer delusion. There is inevitably going to be a train wreck, and it’s going to hurt everyone. Expect to see interest rates start to soar, and to see foreign countries abandon the US dollar in favour of currencies with much stronger fundamentals. Only the fact that so much of the US’s debt is held by foreigners in US currency (who therefore have a vested interest in keeping the US dollar strong) has delayed the inevitable precipitous decline in the dollar. Then the dominos will start to fall — the US stock market, the housing market, followed by further massive layoffs and the kind of inflation that third world countries with wildly inflated currency and unsustainable debt levels are used to seeing. Since we’re all connected, the rest of the world’s economies will also slip back into deep recession. There is some ironic good news in all of this. The tax cuts will have to be cancelled early, since they are simply unaffordable. MidEastern wars and invasions will also be unaffordable, so expect to see the troops come home quickly and unceremoniously. The vacuum there will be probably be filled by warlords and fundamentalists, but that’s inevitable anyway the way Bush is operating, so at least no more American lives and dollars will be wasted on a naive effort to force democracy on countries that won’t be ready for it for generations, if ever. And best of all, the untenable and ridiculous economics of Reagan will finally be put to rest forever, and Bush will be acknowledged, in time for the 2004 election, to be the most irresponsible — and the worst — president in American history, a lesson that will hit home so hard that we should be spared another neocon, and another Republican con game, for at least a couple of decades. |
September 13, 2003
THINGS THAT MAKE YOU GO HMMM…
Three quick picks from around the blogosphere for a busy Saturday:
Can’t we agree that anyone who works full time should be able to provide for his or her family? That every citizen should have basic health coverage? And that special efforts should be made to make sure that poor children have good schools? Fixing these problems will take federal dollars, an amount of cash that is mistakenly viewed as “unaffordably liberal” under existing terms of debate. In fact, an agenda that covered the uninsured, subsidized a new living wage of $9 an hour and adequately compensated teachers would cost less than 2 percent of the nation’s gross domestic product.
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September 12, 2003
WHY DON’T PEOPLE VOTE?
There is a provincial election in Ontario in three weeks, and I’ve been doing a bit of campaigning for the Green Party. In the process, I am astonished at the number of people who tell me, sometimes but not always guiltily, that they have no intention of voting. A bit of research shows that voter turnout is dropping everywhere, that rates are lowest in the US (below 50%), and that, unlike the rest of the world, US voter turnout rate correlates closely with voter income. Why don’t people vote? The most common reasons seem to be, in order:
What are the consequences of this? It mitigates in favour of incumbent candidates and parties in power. It shifts the balance of political power and influence from citizens to corporations and pressure groups, who lavish attention and money on politicians and image-oriented political campaigns. It allows back-room abuses like kickbacks, pork-barreling and redistricting to go unchallenged. And it creates the vicious cycle shown in red in the chart above. To try to understand this, consider as an analogy the reasons most people don’t exercise. They’re remarkably similar to the reasons most people don’t vote: It won’t make enough difference to justify the time needed to do it. I’m not going to stick with it anyway, so why set myself up to fail. My body doesn’t respond to exercise, and I might end up hurting or overstressing myself. I don’t know what kind of exercise my body needs, or can endure. I don’t know what exercise equipment/regimen to employ. The exercise equipment/regimen probably won’t work anyway. I’ll be depressed when I fail.By nature, most of us don’t like change. When something is very difficult, it is human nature to disengage, to avoid it, unless and until the pain of the status quo exceeds the pain of making the change. In the case of exercising, being told you are at high risk of a heart attack might raise the the pain of the status quo (not exercising) above the tipping point level of pain of the change (exercising). The same is true in elections. Most of us need to be worked up about issues and candidates in order to get engaged in the political process. It is therefore in the best interest of incumbents to:
The chart above shows how this leads to a sedating and ‘dumbing down’ of the electorate, and ever-lower voter turnout. There are two potential tipping points that can, at least temporarily, break out of the vicious cycle:
What happens when an adverse political event (e.g. 9/11) or economic event (e.g. recession) occurs? Initially, voter expectations will rise. Incumbents can counter this either by disclaiming ability to anything about it (or blaming it on the previous administration), hence lowering expectations again, and/or by taking some action (like the Patriot Act or invading Iraq) and trying to persuade voters that this was the appropriate response. If they fail, it will lead to one of the two tipping points above; if they succeed, it will lead to voter apathy and the resumption of the vicious cycle. The political pattern you see in most countries at both the national and local level indicates that reaching one of the two tipping points, and breaking out of the vicious cycle, is getting harder and harder. There is less and less attention paid to issues in campaigns, and more focus on personalities and mud-slinging (which plays into our aversion to change unless absolutely necessary and hence into the hands of incumbents). The seven bulleted techniques above that incumbents use on voters to stay in power, along with the back-room kick-backs to recurring big campaign donors, and the scandal of redistricting, all work effectively to entrench incumbents. And when incumbents are seen as invincible, voters disengage and make that invincibility a self-fulfilling prophecy. Let’s look at each of the seven excuses above for not voting, in turn, and see what solutions might be available to overcome voter apathy. The solution to Tweedledum/Tweedledee mediocrity and similarity of candidates is to get rid of ‘first past the post’ voting, and open up the electoral system to multiple political parties. With ‘instant runoff‘ ballots, voters can vote in order for the candidates they want, with the votes of the candidate with the fewest first-place votes shifting to their second choice, until one candidate has reached a clear majority of votes. This encourages supporters of small minority parties to vote, since they are no longer ‘throwing away their ballot’, and also solves the problem of vote-splitting, which tends to discourage voters who feel they can’t vote for the candidate they really want from voting at all. Of course, we also need to pressure the media to invite third party spokespeople to political debates and give them reasonable coverage. The solution to the ‘foregone conclusion’ apathy is to introduce European-style proportional representation, and to eliminate redistricting. Under proportional representation, a block of seats in the House are set aside and allocated proportionately to the highest-polling candidates of parties whose share of the popular vote is lower than their share of the seats in the House (because they consistently place second or third in most districts/constituencies). That means that small parties with a substantial number of supporters widely geographically scattered get some House representation. Proportional representation would also alleviate non-voting excuse #7 above, the discouragement of always supporting losing candidates. Even the fiercely pro-American Economist has railed against the partisan American redistricting process (“a national disgrace”). Redistricting allows the party in power to grossly manipulate riding boundaries to maximize their party’s chances of retaining power in the next election. The US is one of the few countries in the world that tolerates it. Other democracies use an independent electoral commission, which uses a neutral and systematic method to set logical electoral boundaries. The third reason for non-voting (the candidates won’t do what they say anyway) is best solved through proper electoral finance reform. That means prohibiting corporations and organizations from making political donations or otherwise attempting to influence (through partisan advertising) elections and politicians. That means making it illegal, and revoking the charter of corporations and organizations that break the law. It is only by making politicians responsible once again to their constituents, and not to their campaign contributors, that politicians will start paying attention to citizens first. There is no way to force politicians to state their positions on issues, or to mandate that citizens be informed about those issues, especially when we have media that pander to viewer ignorance to garner higher ratings. The solution lies in our beleaguered education systems. Europeans are more informed about political issues than we are because they have been brought up to think that it’s important, and as a result they talk about issues among themselves socially, and watch more television programs that address these issues. The sixth reason for non-voting (that politicians can’t do anything anyway) is simply wrong-headed. Yes, there has been an enormous shift in power over the past several decades from governments to corporations, but this has happened before, and it’s reversible if there is political will to do so. In some countries, the vicious cycle shown in red on the chart is less prevalent than the almost-as-vicious cycle represented by the five boxes in the lower left of the chart. In Canada provincially, and in some European countries federally, voters routinely dump the government in power in favour of an opposition party. In some cases this is due to more political activism, and holding elected officials to a high standard. In others, it’s due to a more cynical view that by changing governments regularly you prevent any party from getting too used to power, and allow each government to unearth and expose its predecessor’s scandals once they discover what really went on. We can only hope that, for either reason, American voters decide next year to opt for this alternative vicious cycle when they mark their ballot for president. Bottom line: the excuses for not voting are understandable, but weaselly. So even if you have to hold your nose and vote ‘strategically’, get off your rear and vote. Better yet, don’t just complain about the political process and politicians, get involved with them, and help bring about instant runoff balloting, proportional representation, an end to partisan redistricting, electoral finance reform, and better education of young, minority and low-income voters (who have the lowest voter turnout rates of all) on the issues that shape all our lives. So stop blogging and get out there. |

This month’s
Jay Currie, writing in
A great speech has seven qualities:
You may have read (if you were playing close attention — it wasn’t well publicized) that Bush has 
It’s time to make the export and the elimination of American jobs the number one political issue in the 2004 campaign.
Even more troubling than Bush’s political blinkers in Iraq is the stunning recklessness of his economic program, which has in less than three years turned a $280 billion surplus in the last year of Clinton’s reign into a record $650 billion deficit forecast for 2004, and a forecast $5.6 trillion surplus for 2011 in Bush’s inaugural speech into a forecast debt that


