Navigating your business in different political environments

 Companies exist in all countries with many types of government where the political narrative ranges from mostly capitalistic, to communist. No matter what political environment people live in there are ways to make sure you and your company are successful no matter what roadblocks are put in front of you.amazon-capitalism

If you live in a mostly capitalistic society then your worries should be focused on your competition.  Humans will always look after their own self-interest, and this is no acceptation with capitalism. You will always need to find ways to cooperate or compete with everyone under capitalism. Technology will be something you have to be current with because of constant innovation. Just recently Warren Buffett parted with Walmart because he felt they drug their feet while building infrastructure while Amazon has been steeling the lead in the market.

If you are located in an area corrupted by crony capitalism then you might start to deal with government regulation controlled by corporations that are too big to fail.  In this political landscape you have legislation written by major corporations approved by government officials or court rulings in favor of the biggest bankroll. We saw this most recently with strict federal regulations favoring the EpiPen over any other competitor.  This caused an unnatural price increase in the product because the company had an illegitimate monopoly.

The more a government controls the more things will be subsidized. Under socialism there are many subsidies given out.  Roads are almost always government subsidized, along with food, and alcohol and things like green energy.  There is an abundance of cash flow that can move into any organization that position themselves around such subsidies.  While technology will make things efficient for every society it is wise to exercise caution and not to keep all your investments tied up in it.  Last week Bill Gates said that government needs to put extra  tax on innovation to keep people from loosing their jobs to robots.

bitcoin-mining

I’m sure most reading this will agree that communism or even extreme cases of socialism are the most restricting form of government and makes it hard for almost anyone to succeed.  Fortunately progress cannot be stopped no matter how hard people try. Currently in Venezuela there is a thriving industry around mining Bitcoin.  Mining Bitcoin uses a massive amount of electricity that would be too costly for someone to mine under capitalism, but because electricity is subsidized in Venezuela people are able to mine it with little cost.
spacex-satillite Companies and innovation will drive progress in a direction that others will try to hinder, but ultimately those obstacles will be overcome.  Right now Spacex is putting up satellites to give the world access to internet.  Imagine what this will do for the people in countries like North Korea?  The people of the world will have access to education resources online outside of the bubble they live in. The will have access to articles like this explaining to them that they can climb out of the rut they are in and find success where ever they are. If you look hard enough you can find success in any political environment.

-Brandon 

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Author:

Solvingcitizen.com

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