Last night, in response to this article, I posted this on my Facebook page.
Ha Ha! A123 is tanking and laying off workers!!!!
One of my friends responded:
Is that joy in people losing jobs…?
No, just laughing at unrealistic policy.
Government is great at developing cutting edge technologies – the internet, various medical procedures developed with the help of government grants, technology from NASA etc. But you have to develop them first, wait for not only practical applications to develop, but also for the consumer to start yearning for the tech or product that uses the tech, THEN pass it on to the private sector to sell. and establish its place. The administration did this bass-ackwards. I’m sorry, but there is no real “green ” industry. I do think you will see more of it in the future, and it will become more profitable, but the desire of government can’t create a thriving industry. This administration over-reached on this big time, and, just as the “green” initiatives are crashing in Europe, the same is predictably happening here.
Successful businesses start out small, and grow if there is a demand for the service or thing. .
A similar mistake was made when the liberal radio network Air America was launched, intended to be a counter to the Conservative talk format that has dominated for a couple of decades now. They got a bunch of people together, paid out huge sums of money to executives and some of the talent, and set up a huge network, without knowing if there would be consumer demand to support it. Their target was, of course, to be a counter voice in the radio industry to the Conservative Talk radio industry. And I would have like to see them succeed, as I fully support the idea of having a more diverse set of voices out there for the general public to choose from. But, it was obvious from the get-go that this enterprise was doomed to fail. They put the cart before the horse… No, they built a huge heavy cart before they even knew if they had any horses at all! What they should have emulated was the way he grew his business, starting small (one man), establishing that, yes, there is a demand for the product, and expanding one station at a time into each new market and see if the program survives in that market.
PS. I noticed this bit from the article:
The company laid off 125 factory workers in November, lost $257.7 million in 2011 (including an $11.6 million write-down of its stake in Fisker), and announced it would spend $55 million to fix the defective batteries it delivered to Fisker and other customers. Meanwhile A123’s top executives received big raises and inflated parachutes should the company change ownership.
I thought that was supposed to not happen anymore with the regulations put into place by this administration and the “Executive Pay Czar”. So, did this company get a pass on those rules? Or were there never any rules put into place on the first place to prevent this from happening?
(hint… it’s the second choice)
PPS. One more note on Air America… The product shoveled out to the public was HORRIBLE! They emulated Rush Limbaugh, Mark Levin and Sean Hannity’s bombastic and often intelligence insulting style on many of the programs. Except for Al Franken – who was boring but actually had good guests – and, sometime Ed Schultz – when he wasn’t exploding over this or that – the programming was unlistenable.