July 10, 2012
Are Canadian franchise bankers capable of engaging in “cartel-style anticompetitive corruption” in their $100-billion sales per year marketplace?
Every current or former Canadian franchisee who has had a Canada Small Business Financing loan may want to ask themselves some questions. My posts at FranchiseBanker.ca (specifically: Banker “everybody is doing it” corruption admitted in the LIBOR scandal) might help frame your thoughts.
Without the Canada Small Business Financing program, many fewer deadbeat franchises would have been sold in the last 20 years.
Industry Canada asked me to jot down my concerns a few years ago.
Franchising Opportunism, a 20 page non-technical paper, was the result.
June 22, 2012
The rules are well-known and ruthlessly enforced in associations like the IFA, CFA, BFA, and FCA.
The price for defecting from the group is very high.
Definition: Organized crime is a social system distinguished by a complex structure resembling a formal organization rather than a loose-knit collection of criminals. Criminal organizations have a hierarchical power structure, a complex division of labor that includes a management system, a formal system for keeping records, and clearly articulated rules that everyone is expected to follow. As criminal organizations become more complex, so do the varieties of crime they engage in. Some criminal organizations are even organized as franchises, much like fast-food restaurants.
Source: About.com Guide
It is a lot more complex than a traditional Cosa Nostra model.
Closer, perhaps, to an international cyber crime organization, trading in intellectual properties and industry best (worst?) practices (see Cyber-capos: How cybercriminals mirror the mafia and businesses).
It’s the behavior, not what you call it that matters.
December 1, 2010
The ways of God in Nature, as in Providence, are not as our ways; nor are the models that we frame any way commensurate to the vastness, profundity, and unsearchableness of His works, which have a depth in them greater than the well of Democritus. Joseph Glanville.
These (all) things have a Life all their own.
A boat picked me up —exhausted from fatigue — and (now that the danger was removed) speechless from the memory of its horror. Those who drew me on board were my old mates and dally companions — but they knew me no more than they would have known a traveller from the spirit-land. My hair, which had been raven-black the day before, was as white as you see it now. They say too that the whole expression of my countenance had changed.
I told them my story — they did not believe it. I now tell it to you — and I can scarcely expect you to put more faith in it than did the merry fishermen of Lofoden. A descent
March 26, 2010
A smooth talker sells Marge on “mobile pretzel retailing.” But when sales go soft, Homer asks for help — from organized crime boss Fat Tony.
Marge: Homer! Did you tell the mafia they could eliminate my competitors with savage beatings and attempted murder?
Homer: [swallowing beer] In those words? … Yes.
Homer: I saw your pouring your heart and soul into this business and getting nowhere. I saw you desperately trying to cram one more salty treat into America’s already bloated snack hole. So I did what I could. I did what any loving husband would do! I reached out to some violent mobsters.
Full Transcript. From television episode, The Twisted World of Marge Simpson, original aired on Fox TV on January 19, 1997
Marge buys a pretzel franchise, fails to achieve her sales targets and violence ensues.
December 7, 2009
Dr. Michael Mockovak (left) was arrested November 14 and jailed on $2 million bail.
Prosecutors have charged the eye surgeon with two counts of solicitation to commit first-degree murder.
These are two good articles about this:
- Clearly Lasik co-founder accused of soliciting murder of partner and
- Eye doctor charged with arranging hit.
To add insult to planned-injury the “bad” doctor maybe using franchisor funds to defend himself against charges of trying to have a Russian Mafia-type whack his partner, Dr. Joseph King (right in picture above), and their former associate, a Mr. Brad Klock of Vancouver. (see Doctor in murder-for-hire case also facing civil suit)
The quote I like the most is:
…”he [the bad doctor] held no personal animosity toward Dr. King, only toward Mr. Klock”
It is my experience that franchisors do not respond well to being aggressively resisted, especially being sued.
Below is a video of Dr. Mockovak while, it appears, Dr. King is in hiding.
October 19, 2009
Richard Solomon is a dangerous man.
In a Blue MauMau October 13th comment called There is more than one Mafia, Solomon poses these questions:
- Do you people really believe you are not dealing with organized crime?
- Do you really believe every organized gangster dresses outlandishly and eats spaghetti all day?
- Do you think that organized crime needs goons with guns to come around and shoot your children?
- Is it possible that you are all that stupid?
The same questions crossed my mind as I lifted the rock on 3 for1 Pizza and Wings to discover they collected royalty fees — in person — each week — in cash.
Solomon goes on to describe a much more sophisticated predatory life form:
The other Mafia is Anglo Saxon Protestant or worse; wears very conservative tailor made suits; went to all the best schools; has a daddy who set him up so well that he could hire lower orders to do his dirty work; lawyers and contracts instead of guns; and professional managers instead of button men.
Judging by methods and results, can you honestly distinguish between Tony Soprano and Rick Schaden or Mitt Romney (Bain Capital)? Are you experiencing a more pleasant life under Mitt the Shit than you would under Tony Soprano?
Solomon “Get real, people!”