...so what wrongdoing did the banks do, exactly? Told another way, a failing company was headed towards bankruptcy, until the banks stepped in and saved the day by recapitalizing the company, saving thousands of jobs and a good brand in the process.
Yes, I think the gist of the article is that interest in outcomes evaporates with financing and consolidation. The creative destruction of capitalism becomes capricious destruction under those circumstances.
That's what he's saying, and it might be true, but he hasn't demonstrated that in the article. He's done all of this research which supposedly demonstrates that Guitar Center is going to be run into the ground, but he never actually goes anywhere with his research. He's just using this as an opportunity to gripe about banks, which is fine, but he shouldn't have fluffed up his vitriol by pretending like he has a scoop.
It's actually worse than that. Consider the fact that all of this financial crap is propping up Guitar Center who is undercutting all the local shops and driving them out of business.
So, until Guitar Center actually collapses, it is actually harming the economy because its existence is preventing the formation of companies that might actually make a profit.
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...so what wrongdoing did the banks do, exactly? Told another way, a failing company was headed towards bankruptcy, until the banks stepped in and saved the day by recapitalizing the company, saving thousands of jobs and a good brand in the process.
It was failing because of the amount of debt it had loaded up in it in the previous buyout.
Yes, I think the gist of the article is that interest in outcomes evaporates with financing and consolidation. The creative destruction of capitalism becomes capricious destruction under those circumstances.
That's what he's saying, and it might be true, but he hasn't demonstrated that in the article. He's done all of this research which supposedly demonstrates that Guitar Center is going to be run into the ground, but he never actually goes anywhere with his research. He's just using this as an opportunity to gripe about banks, which is fine, but he shouldn't have fluffed up his vitriol by pretending like he has a scoop.
He's not griping about banks, but rather private equity firms.
It's actually worse than that. Consider the fact that all of this financial crap is propping up Guitar Center who is undercutting all the local shops and driving them out of business.
So, until Guitar Center actually collapses, it is actually harming the economy because its existence is preventing the formation of companies that might actually make a profit.