Small Traditions LLC/SCANDAL UPDATE

[todeen]

I know there are very smart and successful people on Net54. And lots of valid points were mentioned. I don't have much to contribute by way of speculation. But....

My father worked for Marlboro cigarettes (a parent company that has gone by many names including Philip Morris, Philip Morris USA, and Altria). What I learned from decisions that were made by a mega company is that they are ruthless and willing to do anything to maintain or grow their share in their market regardless of legality. The small group of decision makers at the top of mega companies are willing to lose astonishing sums of money in lawsuits because of the POSSIBILITY of making even more money.

Sometimes no amount of speculation will ever create a plausible reason for why a mega company chooses to do what they do.

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[BobC]

Originally Posted by todeen

I know there are very smart and successful people on Net54. And lots of valid points were mentioned. I don't have much to contribute by way of speculation. But....

My father worked for Marlboro cigarettes (a parent company that has gone by many names including Philip Morris, Philip Morris USA, and Altria). What I learned from decisions that were made by a mega company is that they are ruthless and willing to do anything to maintain or grow their share in their market regardless of legality. The small group of decision makers at the top of mega companies are willing to lose astonishing sums of money in lawsuits because of the POSSIBILITY of making even more money.

Sometimes no amount of speculation will ever create a plausible reason for why a mega company chooses to do what they do.

Sent from my SAMSUNG-SM-G930A using Tapatalk

Heck, just go back to that story from a few months ago about the MA couple that were stalked, harrassed, and threatened by Ebay employees for posting things on their website that Ebay company execs didn't like. Company culture starts at the top, and works it way all the way down in an organization. If they would do that to a couple for simply postings unpopular things about them on a somewhat obscure website, what do you think Ebay would be capable of doing to one of their top sellers, generating around $300M in sales for the current year, if they suddenly wound up on Ebay's bad side?

[RL]

funny that someone keeps waffling on their opinions

[Snowman]

Originally Posted by RL

funny that someone keeps waffling on their opinions

It's called being objective. You should give it a try sometime.

[todeen]

Originally Posted by BobC

Heck, just go back to that story from a few months ago about the MA couple that were stalked, harrassed, and threatened by Ebay employees for posting things on their website that Ebay company execs didn't like. Company culture starts at the top, and works it way all the way down in an organization. If they would do that to a couple for simply postings unpopular things about them on a somewhat obscure website, what do you think Ebay would be capable of doing to one of their top sellers, generating around $300M in sales for the current year, if they suddenly wound up on Ebay's bad side?

In the mid-90s, Marlboro sponsored the Billings MT fair a couple times. Some local yokel was selling gag gifts, and one of them was a silly cigarette product in Marlboro colors and design. My dad provided a cease and desist letter for encroachment on brand identification. Another time we were in Mexico, and we saw knockoff Marlboro stuff being peddled by sellers on the beach. My dad looked at me and said, "You don't know how much time is spent trying to eliminate stuff like this."

Sometimes it seems like mega companies don't care about money, they are willing to tie up litigation in the courts for years and years instead of paying a settlement. They don't save any money and their lawyers just keep ringing up the billable hours. And then at other times, they are going after mom & pops because every dollar counts.

[BobC]

Originally Posted by todeen

In the mid-90s, Marlboro sponsored the Billings MT fair a couple times. Some local yokel was selling gag gifts, and one of them was a silly cigarette product in Marlboro colors and design. My dad provided a cease and desist letter for encroachment on brand identification. Another time we were in Mexico, and we saw knockoff Marlboro stuff being peddled by sellers on the beach. My dad looked at me and said, "You don't know how much time is spent trying to eliminate stuff like this."

Sometimes it seems like mega companies don't care about money, they are willing to tie up litigation in the courts for years and years instead of paying a settlement. They don't save any money and their lawyers just keep ringing up the billable hours. And then at other times, they are going after mom & pops because every dollar counts.

Not surprised at all, and your Dad was right about the surprising and sometimes illogical things companies will do to others to stay on top and squelch any and all competition, even if it is only perceived and not truly real. Just look at a lot of the biggest names in business out there, that people often seem to adore, emulate, and want to be. They turn out many times to be the biggest a--holes on the planet, who behind closed doors (and on some rare occasions right out in the open) are truly horrible people who will stop at nothing to advance their interests and wealth to the detriment of all others. And that kind of thinking permeates down through companies and leads to things like the harassment and threats that MA couple got from Ebay employees.

I think that sometimes businesses view spending all that time, expense, and effort as not frivilously just throwing money away, but more like paying for insurance. They go over the top against someone or some entity to send a message to everyone else out there to not even think about ever doing or saying anything to go against them. Because if they do, they'll stop at nothing to fight back and try to destroy whomever they feel posed a threat against them.

[Snowman]

A friend of mine at eBay told me that they are constantly trying to buy out their competition. Anytime a small online auction site makes a splash, eBay is there to buy them out, effectively playing whack-a-mole. They go to great lengths to ensure that not only are they the 'king of the hill', but that they have the only hill. Their business model is not particularly novel or complex. It is extremely vulnerable to competition. They fully realize this. Hence they attempt to buy out competitors before they can gain enough momentum. Just look through the list of acquisitions they've made over the years (and this list is not comprehensive. I know there are several more smaller acquisitions that aren't even listed here). They buy out other auction sites just so they can either shut them down or prevent them from growing into greater threats in the future. It is almost certainly the most important factor in keeping them in the position they're still in today. This is eBay's modus operandi. If they see you as competition, they will try to squash you or acquire you.

https://en.wikipedia.org/wiki/List_o...itions_by_eBay

[tschock]

Originally Posted by Snowman

They buy out other auction sites just so they can either shut them down or prevent them from growing into greater threats in the future. It is almost certainly the most important factor in keeping them in the position they're still in today. This is eBay's modus operandi.

Much like bribery though, isn't it. It only works when the other party accepts the bribe.

[BobC]

Originally Posted by tschock

Much like bribery though, isn't it. It only works when the other party accepts the bribe.

Not really, offering to buy someone out, and them accepting, is legal.