The two words that most distort the free market are "competitive pricing."
Free market capitalism assumes that a company that can bring a widget to market for half the cost of a competitor will charge half as much for the widget as the competitor does.
In reality a company that can produce a widget for half as much as its competitors will keep it's processes secret or patented and charge slightly less than its competitors. A company that can get twice as much work from an employee will pay its employees the same as its competitors for much the same reasons. Even if the processes become widespread the prices won't change until someone sacrifices the lush lifestyle that competitive pricing provides by charging a fair price and forces its competitors to compete or die.
Luckily for us, part of the fun of the free market is that it will pay you to identify and fix its distortions. Basically there's a niche here waiting to be filled.
We need a website that tracks the profit margins of businesses by industry and makes that info publicly available. People will rush to start businesses where profit margins are higher. Competition in those areas will lower the profit margins. Lower margins will lower costs. Lower costs mean that we'll be able to actually benefit from the increases in efficiency caused by the free market.
This blog is where I will be posting business plans, start up costs, industry standard profit margins and regulatory information.
Any suggestions on which industry to start in?
Any suggestions on which industry to start in?
