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Are Regulatory Enforcements in the US Unduly Influenced By Lobbyists and Legislators?

March 09, 2012 | Comments: 0 | Views: 133

Sometimes, I worry that our regulatory agencies are only there for one purpose, to allow one business to get an advantage over their competitors. When I explain this to folks who consider themselves left leaning on the political spectrum, they usually look at me like; huh? But perhaps that's because they don't understand, or have never been involved in business before. You see, I have, I ran a franchising company which franchised in 23 states serving some 450 cities. These types of things go on in every single level of government. Okay so, let's talk about this for a moment shall we?

Indeed, I've even had my own franchisees try to turn in their competitors for some regulatory violation, or to cause a problem for their competitors, and put in a call to the enforcement agency at the municipality of a suspicion that they might be doing something wrong. If nothing more than to slow them down, to rake them over the coals, or get an investigation started. I always told our franchisees not to do that, because it could start a tit-4-tat war in the local area or region they were working in. That's not something we needed.

You see, as a free-market entrepreneur I would rather service our clientele and customers, and let the competition chase us, meaning let the best man win. Today, there are often consumers who go out of their way to make a complaint to a various agency, or even threaten businesses that that don't give them a discount, or make them a better deal, that they will go online on social networks and start complaining and ruin the reputation - basically it's extortion. And if that doesn't work they threaten to sue, or call the regulatory body on that company.

But really why does the government get involved in business disputes in the first place? Interestingly enough, even attorneys working for one client will call the regulatory body, to complain about their client's competitor and that usually carries more weight because they happen to be a lawyer and can write a letter. This is also quite problematic. Of course, it gets much worse than this as you go higher up.

A business which donates money to a Congressman in their district can often call up that Congressman and say that they are having trouble with the regulations and laws, while their competitor XYZ is breaking those laws, and they want to make sure that the congressmen is going to do something for them about this problem. The congressmen having received tens of thousands of dollars in campaign contributions then makes a phone call to the regulatory body, asking them to look into this complaint.

The regulatory body knows where it gets its funding, and they have to keep the Congress people happy, therefore they launched an investigation on the poor hapless competitor, who probably wasn't doing anything wrong in the first place. Now then, why this really bothers me, especially now with the Obama Administration, is now they are boosting the power of the regulatory bodies, and there is far too much of this insider game being played already.

It's un-American, it's unconstitutional, and it is a severe abuse of power. And yet, it continues to go on in this country every single day, and it's just not right. When the occupy protesters, and the others who claim they are the 99% going after the 1%, complain about rich people and people who own businesses, and want to tax them into oblivion, let's make sure they attack the right folks, and not the poor hapless competitor who's been bombarded because he doesn't want to play the game in Washington DC, which quite frankly is totally pathetic in my personal opinion, and professional experience. If you doubt what I'm saying, send me an e-mail there is an abundance of information on this, and it's not too hard to find.

Lance Winslow has launched a new provocative series of eBooks on Future Concepts. Lance Winslow is a retired Founder of a Nationwide Franchise Chain, and now runs the Online Think Tank;

Source: EzineArticles
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