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Value-Added Economics?

After three second rounds this week, I am working on a theory.... There are three components to the job market: product enablers, service, oversight.

Oddly, the service component, despite being the customer-facing component, is the lowest paid.

In small business, the backbone of a stable economy, service is the highest paid, investors are paid over a longer period and oversight is a discipline, and requires the fewest resources. I feel like I am missing a factor here....thoughts?

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almost 10 years ago
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John Thomas
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CNC Operator

Interesting theory Cavett but in my opinion there’s another component that needs to be factored into this theory in order to truly understand the driving forces that influence small business behavior; Big Business. For years now we’ve been watching big business put a choke hold on the small business dynamic. We used to experience more economic synergy, loyalty, and sense of ownership at every level of the job market relationship (assembly/production, customer facing, and management). Small business recognized the value of having a well trained service orientated employee so they provided the necessary training and compensation to retain that employee. Assemblers were vital to production so manufacturers ensured a decent, competitive wage and retirement benefits also in order to retain employees and meet production goals. The management role was simply there for oversight or more for administration purposes and less hands on activity so yes fewer oversight resources were necessary. Today, Big Business have almost single handedly wiped out more than half of the small business existence and driven down service wages to the low minimum wage standard we have now. Manufacturing companies have free will over product enablers (assemblers) with the overwhelming indirect fear of closing down shop and shipping jobs overseas. Management is left with having to maintain utopian working environments under less than desirable employee/employer workplace relationships. Oversight (Management) used to be a discipline because the expectations were clearly outlined and allowed for the discipline to develop. Today, unfortunately, there are too many changes and inconsistencies within business behavior in order to allow maturity and discipline in one area.

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Chris Bartlett
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I'm having a hard wrapping my head around this. What is this theory for?

10y
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