The Thing About Large Corporations….
By Diliora Iloanusi.
They. Do Not. Like. Competition. They do not enjoy a threat to their potential monopoly or present monopoly. These days, the new way to maintain that is to offer these smaller companies significant wads of cash or shares in their company.
In a recent acquisition Facebook invested the sum of $16 billion – 4 in cash and 12 in company share – to pick up mobile messaging client, Whatsapp. Personally other than the beautiful incentive of $16 billion dollars I cannot see why they went for the deal. They were doing great, competition was none existent to the best of my knowledge. 100,000,000+ downloads on Google Play alone. Talk less of the iOS platform. So why? I don’t know but I will say this; I don’t like it.
The first problem is the imminent eradication of good competition. Take for example, I love coffee. However, the best coffees I’ve had weren’t in Starbucks, Café Nero, Costa etc. it was in a little, small business owned café called Gail’s Café, or some of the better chocolate treats I’ve had weren’t from the Kraft family’s offerings but from Choccywoccydoodah. I like small businesses, they actually care about the customers, they don’t try for a one size fits all approach (then when that doesn’t work they churn out 100 so there are more chances of fitting) which is why the a tailor-made suit will always fit better. It’s centred entirely, around you.
The more personal problem I’ve got with large corporations getting bigger. Paranoia. They just keep owning and owning until anything and everything you buy belongs, in some way to them. I mean just look at the flow chart below, how many things you buy belong to these companies?
Shocking I know. Now imagine Facebook with their massive pool of information now in possession of something as large and as intimate as your Instant Messenger platform. It’s worrying. I found out recently that the status updates you never get round to posting because you rethought how stupid it might sound, yeah, they store that too.
Call this a rant, which for all intended purposes it is but it worries me. I like good competition it fosters good products. It provides businesses with a drive to push forward to give you and me the best they can without owning all of it giving you more choice and not the illusion of it.
There’s my 2 cents on that little event.