(2004-03-06) Stern Big Co Gov Power

The Howard Stern controversy raises an interesting point about power. We've heard for years about how BigCo-s were getting more powerful than BigGov, etc. Yet, at least when those corporations are publicly held, they fall in line faster than small companies. Some possible factors:

• publicly-held corporations (in terms of their stock price) are significantly affected by marginal changes in their business (no LeeWay), and therefore managers are less likely to make a stand on principle if there is any cost involved.

• big corporations attract/reward people who "get along" and respect hierarchy and Power.

This biggest problem here is that with so much consolidation, a small number of big chickens moves the entire society.