Introduction

Not long ago, almost all Americans loved a success story. Hometown boy makes good. Little guy succeeds against all odds. But not so much any more, not so much at all. 

That is the subject of today’s 10-minute episode. 

Continuing

Has anyone heard of Horatio Alger? Horatio Alger Jr. was an American writer in the 1800s who wrote young adult novels about poor lads and their rise from humble backgrounds to lives of middle-class security and comfort through hard work, determination, courage, and honesty. His writings were characterized by the "rags-to-riches" narrative, which had a formative effect on the United States at the time.

My Dad once told me, after observing a summer of my reading science fiction in early high school, “Truth is stranger than fiction.” as he handed me a copy of a book detailing true first ascent mountain climbs. I remember reading about K2, Annapurna, and, of course, Everest. And my Dad was right. Those stories were more riveting, more astounding, and more full of human courage and determination than anything written by Asimov or Heinlein. 

The same is true in business and commerce. Here are a few examples:

Microsoft. Bill Gates and his friend, Paul Allen, dropped out of college in 1974 to start Microsoft on a shoestring.

Mattel. In 1959, a woman named Ruth Handler noticed that her daughter had more interest in playing with paper dolls that looked like adults, rather than dolls that looked like babies or children. She designed a plastic doll that had mature features, and brought it to the 1959 New York Toy Fair. The Barbie Doll was an instant hit with young girls. Mattel was born. 

Disney. Post WWI, Walt Disney returned from France as part of the Red Cross (turned down by the Army--too young), and convinced a Kansas theater to show his cartoons. Disney was born.

Walmart. After a previous business failure, Sam Walton opened a single store with the vision of generating sales with low prices driven by low profit margins. Today Walmart is the largest US employer, with 2.2M (yes, million) employees.

Amazon. Jeff Bezos started by quitting his job, and starting selling books online in 1994. Today, Amazon employs 750,000 people, and offers wide product selection, reviews and door delivery to many millions around the world. The cover photo in this episode is Jeff Bezo, in his Amazon office in 1994. 

How did it come about that at least three of these companies have engendered intense dislike, bordering on hatred? 

Let’s start with the two companies that have only been met with relatively mild fussing: Mattel and Disney. Mattel is accused of pushing an ideal of femininity that is impossible to achieve. But no one seems to mind that I have no way of meeting the “ideal” as modeled by G.I. Joe. Disney is criticized for having screwed up George Lucas’ Star Wars. And tarting up the original G-rated Disney movies and cartoons.

Microsoft has more severe critics, accusing the computer giant of crushing competition. Gates and Allen started with almost nothing, and sold whatever they could to keep the doors open, starting with their first company, named Traf-O-Data, which sold a rudimentary computer to track and analyze automobile traffic data. They struggled, worked hard, took creative advantages of opportunities open to all, and succeeded wildly. Yet here is a meme representing Microsoft’s critics. 

The most intense criticism--hatred--is reserved for Amazon and Walmart. The critics charge that neither pays its employees enough, and that both crush the little guy. Walmart was the first to be subject to this attack, but only because they succeeded before Amazon even got started. 

Let’s take the accusations in reverse order: Neither Amazon nor Walmart have ever crushed anyone.