#managery

[minkyrats]

i know larry sleeps in those ebenezer-scrooge ass pajamas.

[starkspi]

Again source of inspiration and joy is "Managerial Liberties" on AO3 (i reeeally don't like the coloured version of this at ALL so i had to do it) [but truth be told, i just want @miribalis to break into my house]

[art-is-kayos]

AU where Ayin Fucking Died so Angela had to make him a mini boxbot out of scrap.

[mostlysignssomeportents]

Amazon’s financial shell game let it create an “impossible” monopoly

I'm on tour with my new, nationally bestselling novel The Bezzle! Catch me in TUCSON (Mar 9-10), then San Francisco (Mar 13), Anaheim, and more!

For the pro-monopoly crowd that absolutely dominated antitrust law from the Carter administration until 2020, Amazon presents a genuinely puzzling paradox: the company's monopoly power was never supposed to emerge, and if it did, it should have crumbled immediately.

Pro-monopoly economists embody Ely Devons's famous aphorism that "If economists wished to study the horse, they wouldn’t go and look at horses. They’d sit in their studies and say to themselves, ‘What would I do if I were a horse?’":

https://pluralistic.net/2022/10/27/economism/#what-would-i-do-if-i-were-a-horse

Rather than using the way the world actually works as their starting point for how to think about it, they build elaborate models out of abstract principles like "rational actors." The resulting mathematical models are so abstractly elegant that it's easy to forget that they're just imaginative exercises, disconnected from reality:

https://pluralistic.net/2023/04/03/all-models-are-wrong/#some-are-useful

These models predicted that it would be impossible for Amazon to attain monopoly power. Even if they became a monopoly – in the sense of dominating sales of various kinds of goods – the company still wouldn't get monopoly power.

For example, if Amazon tried to take over a category by selling goods below cost ("predatory pricing"), then rivals could just wait until the company got tired of losing money and put prices back up, and then those rivals could go back to competing. And if Amazon tried to keep the loss-leader going indefinitely by "cross-subsidizing" the losses with high-margin profits from some other part of its business, rivals could sell those high margin goods at a lower margin, which would lure away Amazon customers and cut the supply lines for the price war it was fighting with its discounted products.

That's what the model predicted, but it's not what happened in the real world. In the real world, Amazon was able use its access to the capital markets to embark on scorched-earth predatory pricing campaigns. When diapers.com refused to sell out to Amazon, the company casually committed $100m to selling diapers below cost. Diapers.com went bust, Amazon bought it for pennies on the dollar and shut it down:

https://www.theverge.com/2019/5/13/18563379/amazon-predatory-pricing-antitrust-law

Investors got the message: don't compete with Amazon. They can remain predatory longer than you can remain solvent.

Now, not everyone shared the antitrust establishment's confidence that Amazon couldn't create a durable monopoly with market power. In 2017, Lina Khan – then a third year law student – published "Amazon's Antitrust Paradox," a landmark paper arguing that Amazon had all the tools it needed to amass monopoly power:

https://www.yalelawjournal.org/note/amazons-antitrust-paradox

Today, Khan is chair of the FTC, and has brought a case against Amazon that builds on some of the theories from that paper. One outcome of that suit is an unprecedented look at Amazon's internal operations. But, as the Institute for Local Self-Reliance's Stacy Mitchell describes in a piece for The Atlantic, key pieces of information have been totally redacted in the court exhibits:

https://www.theatlantic.com/ideas/archive/2024/02/amazon-profits-antitrust-ftc/677580/

The most important missing datum: how much money Amazon makes from each of its lines of business. Amazon's own story is that it basically breaks even on its retail operation, and keeps the whole business afloat with profits from its AWS cloud computing division. This is an important narrative, because if it's true, then Amazon can't be forcing up retail prices, which is the crux of the FTC's case against the company.

Here's what we know for sure about Amazon's retail business. First: merchants can't live without Amazon. The majority of US households have Prime, and 90% of Prime households start their ecommerce searches on Amazon; if they find what they're looking for, they buy it and stop. Thus, merchants who don't sell on Amazon just don't sell. This is called "monopsony power" and it's a lot easier to maintain than monopoly power. For most manufacturers, a 10% overnight drop in sales is a catastrophe, so a retailer that commands even a 10% market-share can extract huge concessions from its suppliers. Amazon's share of most categories of goods is a lot higher than 10%!

What kind of monopsony power does Amazon wield? Well, for one thing, it is able to levy a huge tax on its sellers. Add up all the junk-fees Amazon charges its platform sellers and it comes out to 45-51%:

https://pluralistic.net/2023/04/25/greedflation/#commissar-bezos

Competitive businesses just don't have 45% margins! No one can afford to kick that much back to Amazon. What is a merchant to do? Sell on Amazon and you lose money on every sale. Don't sell on Amazon and you don't get any business.

The only answer: raise prices on Amazon. After all, Prime customers – the majority of Amazon's retail business – don't shop for competitive prices. If Amazon wants a 45% vig, you can raise your Amazon prices by a third and just about break even.

But Amazon is wise to that: they have a "most favored nation" rule that punishes suppliers who sell goods more cheaply in rival stores, or even on their own site. The punishments vary, from banishing your products to page ten million of search-results to simply kicking you off the platform. With publishers, Amazon reserves the right to lower the prices they set when listing their books, to match the lowest price on the web, and paying publishers less for each sale.

That means that suppliers who sell on Amazon (which is anyone who wants to stay in business) have to dramatically hike their prices on Amazon, and when they do, they also have to hike their prices everywhere else (no wonder Prime customers don't bother to search elsewhere for a better deal!).

Now, Amazon says this is all wrong. That 45-51% vig they claim from business customers is barely enough to break even. The company's profits – they insist – come from selling AWS cloud service. The retail operation is just a public service they provide to us with cross-subsidy from those fat AWS margins.

This is a hell of a claim. Last year, Amazon raked in $130 billion in seller fees. In other words: they booked more revenue from junk fees than Bank of America made through its whole operation. Amazon's junk fees add up to more than all of Meta's revenues:

https://s2.q4cdn.com/299287126/files/doc_financials/2023/q4/AMZN-Q4-2023-Earnings-Release.pdf

Amazon claims that none of this is profit – it's just covering their operating expenses. According to Amazon, its non-AWS units combined have a one percent profit margin.

Now, this is an eye-popping claim indeed. Amazon is a public company, which means that it has to make thorough quarterly and annual financial disclosures breaking down its profit and loss. You'd think that somewhere in those disclosures, we'd find some details.

You'd think so, but you'd be wrong. Amazon's disclosures do not break out profits and losses by segment. SEC rules actually require the company to make these per-segment disclosures:

https://scholarship.law.stjohns.edu/cgi/viewcontent.cgi?article=3524&context=lawreview#:~:text=If%20a%20company%20has%20more,income%20taxes%20and%20extraordinary%20items.

That rule was enacted in 1966, out of concern that companies could use cross-subsidies to fund predatory pricing and other anticompetitive practices. But over the years, the SEC just…stopped enforcing the rule. Companies have "near total managerial discretion" to lump business units together and group their profits and losses in bloated, undifferentiated balance-sheet items:

https://www.ucl.ac.uk/bartlett/public-purpose/publications/2021/dec/crouching-tiger-hidden-dragons

As Mitchell points you, it's not just Amazon that flouts this rule. We don't know how much money Google makes on Youtube, or how much Apple makes from the App Store (Apple told a federal judge that this number doesn't exist). Warren Buffett – with significant interest in hundreds of companies across dozens of markets – only breaks out seven segments of profit-and-loss for Berkshire Hathaway.

Recall that there is one category of data from the FTC's antitrust case against Amazon that has been completely redacted. One guess which category that is! Yup, the profit-and-loss for its retail operation and other lines of business.

These redactions are the judge's fault, but the real fault lies with the SEC. Amazon is a public company. In exchange for access to the capital markets, it owes the public certain disclosures, which are set out in the SEC's rulebook. The SEC lets Amazon – and other gigantic companies – get away with a degree of secrecy that should disqualify it from offering stock to the public. As Mitchell says, SEC chairman Gary Gensler should adopt "new rules that more concretely define what qualifies as a segment and remove the discretion given to executives."

Amazon is the poster-child for monopoly run amok. As Yanis Varoufakis writes in Technofeudalism, Amazon has actually become a post-capitalist enterprise. Amazon doesn't make profits (money derived from selling goods); it makes rents (money charged to people who are seeking to make a profit):

https://pluralistic.net/2023/09/28/cloudalists/#cloud-capital

Profits are the defining characteristic of a capitalist economy; rents are the defining characteristic of feudalism. Amazon looks like a bazaar where thousands of merchants offer goods for sale to the public, but look harder and you discover that all those stallholders are totally controlled by Amazon. Amazon decides what goods they can sell, how much they cost, and whether a customer ever sees them. And then Amazon takes $0.45-51 out of every dollar. Amazon's "marketplace" isn't like a flea market, it's more like the interconnected shops on Disneyland's Main Street, USA: the sign over the door might say "20th Century Music Company" or "Emporium," but they're all just one store, run by one company.

And because Amazon has so much control over its sellers, it is able to exercise power over its buyers. Amazon's search results push down the best deals on the platform and promote results from more expensive, lower-quality items whose sellers have paid a fortune for an "ad" (not really an ad, but rather the top spot in search listings):

https://pluralistic.net/2023/11/29/aethelred-the-unready/#not-one-penny-for-tribute

This is "Amazon's pricing paradox." Amazon can claim that it offers low-priced, high-quality goods on the platform, but it makes $38b/year pushing those good deals way, way down in its search results. The top result for your Amazon search averages 29% more expensive than the best deal Amazon offers. Buy something from those first four spots and you'll pay a 25% premium. On average, you need to pick the seventeenth item on the search results page to get the best deal:

https://scholarship.law.bu.edu/faculty_scholarship/3645/

For 40 years, pro-monopoly economists claimed that it would be impossible for Amazon to attain monopoly power over buyers and sellers. Today, Amazon exercises that power so thoroughly that its junk-fee revenues alone exceed the total revenues of Bank of America. Amazon's story – that these fees barely stretch to covering its costs – assumes a nearly inconceivable level of credulity in its audience. Regrettably – for the human race – there is a cohort of senior, highly respected economists who possess this degree of credulity and more.

Of course, there's an easy way to settle the argument: Amazon could just comply with SEC regs and break out its P&L for its e-commerce operation. I assure you, they're not hiding this data because they think you'll be pleasantly surprised when they do and they don't want to spoil the moment.

If you'd like an essay-formatted version of this post to read or share, here's a link to it on pluralistic.net, my surveillance-free, ad-free, tracker-free blog:

https://pluralistic.net/2024/03/01/managerial-discretion/#junk-fees

Image: Doc Searls (modified) https://www.flickr.com/photos/docsearls/4863121221/

CC BY 2.0 https://creativecommons.org/licenses/by/2.0/

[mushimadness]

The Amazing Digital Menagerie (1/3)

Jumping on the tadc au train. The idea was that the game they entered was an animal circus management game thing but instead of entering the player role, they instead entered the animal roles.

[captainkirkk]

If Ted ever told a player, "I'm not mad, I'm just disappointed", they'd probably start sobbing

[skitskatdacat63]

Mark Webber talking about his boy Oscar Piastri

[bigolbadblog]

i know that mafia romance is cringe or whatever but like. the feedism possibilities...

it's about the unrepentant enjoyment of the good life. and also. fat crime bosses who carry their size as a symbol of power. who are constantly inviting their inner circle to big, lavish family style dinners. and, of course, no one dares refuse the boss's generosity, so everyone's cleaning their plate... and then their next plate too

[chuckbbirdsjunk]

[speakofthedebbie]

by popular demand (re: one person) some radioapple fic recs!! (i hope thats what you meant lol most of the fics i read are just radioapple)

Bedtime Rituals to Try out Before the Next Angelic War by @miribalis

just yes. thousand times yes. so basically my boy luci has some sleep troubles and that somehow leads to a qpr with al look its been a while ok just read it

Managerial Liberties by the same fella

these two tags explain it pretty well

something that sticks out to me about this is that charlie is actually (reasonably) cold to adam and like. im actually surprised with how little ive seen that. i mean i dont think id be exactly buddy-buddy with my besties killer either. only 3 chaps as of writing but already looking to be a radioapple classic

im not sure if its meant to be read as such but it kinda feels like a squeal to bedtime rituals in a way (edit: not meant to be read as such, just the same vibe)

devils don't fly (don't expect me not to fall) by @corgiss

also just yes. basically a really not cool joke evolves into a blossoming romance because why wouldnt it. (man if i had a nickel for every radioapple fic that had a masquerade that was sabotaged by the vees- *gets shot bc i cant mention osas yet*)

i’ll hold you close (i’ll stay the course) by the same fella

the entire time i was just going "yas king! put that egotistical flatscreen in his place!!". basically luci reminds the overlords who he is and vox shows he can be more of a threat than he lets on.

ykw fuck it just the entire series (i didnt mention i would give anything to not give a shit (but i do) and my perfect rock bottom (my beautiful trauma) because the first one sounded a lil too angsty and ive gotten enough of that from other sources [pointedly glares at Quietly, It Slips Through Your Fingers, Love {also coming up later!}] and the second is (mostly) smut and ive been trying to step back from that because "ive seen worse" isnt a valid excuse for that torture actually)

Of Saints and Sinners by the forever amazing @morningstarwrites!! (if you see this i have a serious question: is this your first time ever writing a fic? because how do you get so much right the first time- [not even beginners luck could explain this level of skill])

i could sing its praises until my death bed but ill hold off so i can explain whats happening. basically after burning down a meeting room several times, luci and al make a deal ("not a deal!", luci laments to the void): they will attempt to be civil and maybe even friendly, and by the end luci will owe al a favour. whats the favour? read it yourself dammit! seriously, 10/10, i am foaming at the mouth till friday (depending on how this goes, that might be tomorrow or today)

Quietly, It Slips Through Your Fingers, Love by Starlit_Rainfall (no tumblr in sight, so AO3) (i. urgfgh. what happened. i was just smiling over the fluff while crossing to go to school. where did it go. where did it gooooo)

if thats anything to go by, the last few chapters have been rough. the fluff feels so far away that i cant even explain what happens. luci was waxing poetic about swimming in maple syrup for al, i remember that much. also emily is there (fallen) tho we havent seen her in a sec. if you read it, warning for the gut punch of angst that starts chap 32 "She/Her" (though the chapter before that, "Should Alastor Know By Now?" ends pretty rough too)

Freely We Serve by @romanaxe

i dont remember how i managed to stumble upon this but im having a great time. basically alastor is a new sinner fresh in hell (but time doesnt matter and the whole cast is still here) and thinks "what better way to gain power than be the personal assistant of the heartbroken king of hell!" features a 6(?) year old charlie and a morally dubious lilith (also i loved eepy al X3)

A Family Forged in Hellfire by Green_Ghostwriter (once again, no Tumblr, so AO3)

this ones a bit newer (10 chaps), is so far mostly exposition and the slowburn pot hasnt even been put on the stove, but as just a hazbin fic in general i see the potential. basically its a 1920s au where heaven decides little charlie doesnt deserve to be raised in hell and is sent to earth with a "foster" family where her actions in life will determine witch realm she will return to after death. her "parents", al and minzy, are given false memories so they can claim the girl as their own and gee i wasnt kidding when i said it was a lot of exposition. erm honestly explaining anymore would tech be spoiling so go read it!

The Red Thread That Binds Us by @scun-gilli

{{future me prefacing this by saying i have no idea where i was going with yesterdays thought process, all you need to know from it was im on chapter 27. also scungilli your comment is making me very worried 😟 well theres no mcd tag so im sure itll fine, right? RIGHT, SCUNGILLI??}}

basically its a king x kings guard au where al and luci grow up together and only grow closer after a. certain life event for al (its fine guys trust :)) [she said, like a liar]) then al is sent of for royal guard training school (ik its not called that i forgor 😭) but dw he comes back. just watch out for graphic depictions of injuries (i think thats this fic) angst and a sneaky eve bc radioapple fics are allergic to happiness (or maybe im not looking hard enough lol) (also im really tempted to make the friendship bracelets they had 👀)

somewhere down the line by kj_crwm (AO3 link)

this one starts off as human!alastor/lucifer but by the middle(?) its just regular radioapple. basically al is encountered by luci while finishing off a job who agrees to keep quiet. luci just keeps on showing up, reveals hes the devil to which al us just like "lol ok" and eventually they get in a relationship (ooh lala 👀) but they break up after saying some hurtful things to each other (oh nono 👀) with luci promising al they will never cross paths again. if you watched the show then well. you know that doesnt happen 😂 most human!al radioapple have al summon him (no hate to them) so this was an interesting change of pace

cannot stress it enough but this is a WORKING list i WILL be coming back to it bc these are purely the fics i could think if off the top of my head. IN FACT, if any of you have radioapple fics you love, SEND THEM THE FUCK IN! i am one person whos only been in this fandom for 4 months, and reading fics/shipping radioapple even less, theres bound to be some ones i missed that you think are Worthy™️! and if theyre nsfw then at the very least it shouldnt be the main focus

EDIT: so sorry anyone who reblogged this before had to see the disgusting unedited version. literally just found out that tumblr doesnt apply edits to reblogs. what the fuck

[fisheito]

is oli gonna be a maid bouncer. like. customers are gonna try to get handsy with the maidboys and dante's first reaction is to snap someone's wrist in twain rei becomes an unpredictable liability bc he could do SO many things. he could not care. he could escalate the inappropriate touching for personal gain. he could poison their drink (with higher chances of fatality than usual)

so oli needs to be the mediator of all making sure customers don't act out of line and that staff don't kill someone . all he has to do is wield a menu like his holy book and everyone will behave

[starkspi]

"You okay?"

Another one from "Managerial Liberties" by the talented @miribalis (in which Adam is accidentally the best wingman ever - what a pun!).

[kingsandbastardz]

I'm becoming increasingly convinced that JLQ's clear refusal to believe DFS could even be slightly gay is the one and only reason she didn't try to skin Wuyan alive. Wuyan who, is trusted by DFS, allowed extremely close proximity, and has all the same skills DFS values in her. TBH if there was a possible love rival outside of anyone other than LXY - she should have suspected Wuyan first, before any of the 12 Pillars.

It's sad that we didn't get enough episodes to see a little more of Wuyan for anything, or JLQ for her actual Alliance duties -- but I know enough about what it takes to run operations that I can extrapolate the skill sets needed:

Skills they both have:

budgeting and currency exchange/issues

managerial acumen/ability to organize and move large groups of people

planning

communication at both upper and lower levels

resourcing

logistics

strong understanding of timing, topography, weather and how to deal with issues

stealth

esoteric knowledge for random shit they likely have to source or deal with themselves due to rarity, etc

negotiations

how to present yourself to the public

thorough and systemic thinking

planning for failure

Where JLQ fails but Wuyan succeeds:

ability to anticipate what DFS wants

ability to deliver what DFS wants in the way he wants it

ability to not sexually harass DFS

putting DFS' desires over their own (Whatever Wuyan's feelings are, we have no idea)

Where Wuyan fails but JLQ succeeds:

getting public credit for hitting their kpis

choosing to not be subservient

public leadership / getting public buy-in

It's interesting that with the both of them -- if DFS chose at any random time to just get up and leave Jinyuan Alliance behind -- both would immediately drop everything and follow him.

They're both used to seeing DFS' back - Wuyan because he deliberately positions himself there regardless of what DFS seems to wish (his own show of willfulness). JLQ because DFS is always walking away from her.

And of the two - i feel like DFS would likely take Wuyan with him, while leaving JLQ in charge of the things he doesn't care about.

So yeah. I'm still surprised Wuyan wasn't killed before DFS came back from seclusion. It's pure speculation but maybe his outward presentation of being a servant is the thing that saved him. Why does he play a servant when DFS himself is like, "You do know I think you're supposed to be standing up there with the higher ranking ppl, right?" Is it from a sense of distrust of everyone, leading him to create a persona? An emotional need to serve DFS? A not-so-secret kink? A sense of loyalty that he feels he can only express in this manner?

Just what history do they share that DFS feels comfortable enough to cry in front of him? Twice. Both times while mourning LXY/LLH.

I have so many questions.

[mushimadness]

The Amazing Digital Managerie (2/3)

[miribalis]

it is my exhausted pleasure to say that chapter 7 of managerial liberties is now up!

[commsroom]

how would the characters do working in a public service job, such as retail? I'm particularly curious about hilbert, kepler, and minkowski.

you know, you can really tell that nobody in wolf 359 other than eiffel has ever worked retail. it explains a lot about them.

it's impossible to imagine hilbert working retail in any context that isn't just. a joke for how out of place he would be. everything hilbert does is for his research, and he considers anything else a pointless distraction. he thinks that "bedside manner is like anesthetic: it just gets in the way of what needs to be done." honestly, i wish i could make hilbert work customer service. it would be torture for him, and he would say the kinds of things to customers that most people can only fantasize about. if you put him in a retail job, somehow, he would still just disappear into a dark storage room to do god knows what. i think hilbert would let people shoplift. he doesn't care.

kepler... could thrive in retail, actually. that's really scary. not that he would like it, but that he's got that kind of personality type and work ethic. the version of kepler who hollowed himself to become the manager of a dick's sporting goods might be worse than regular kepler, for the limited power it would offer him. but stagnation would drive him crazy. kepler really values progress - always working harder, doing more. he doesn't mind being a cog in the corporate machine, but that would be a much less. complex machine, compared to his real ambitions. he would still tell the exact same stories.

minkowski would be very, very frustrated by a job like that, but she would take it very seriously. she would enforce every nonsensical, nit-picky little policy to the letter. she would want to run that place like the navy, for sure, but people wouldn't be scared of her the way they'd be scared of someone like kepler. she's a tryhard people pleaser, and she tries to come across as strict and no-nonsense, but i think minkowski really takes people at their word and it wouldn't be hard for both customers & her employees to walk all over her once they figured out how she operates, and which of her threats are empty. that's what eiffel did. if she wasn't in a management position, it would be even worse for her. she would grit her teeth, and try very, very hard, and she would hate every moment of it.

characters you didn't ask about, but i have to talk about anyway:

i think lovelace would be a relatively cool manager who would take your side if a customer was a jerk to you, and she wouldn't really care about the rules as long as things got done. but it would be difficult for her to hold a lower-level position, unless she had a cool manager.

eiffel is the only one of them who's canonically worked food service (and a whole assortment of dead-end jobs he got fired from within a few months) and he approaches his current job pretty much the same as i imagine he approached his job at pizza hut. he complains about his boss, zones out, maybe even falls asleep. if he could wander outside and smoke, he would. eiffel and hera are really the only two people here who don't have career ambitions. almost everyone else wants something more, in their own ways, but eiffel just wants to clock out, go home, and relax. doesn't really matter what the job is, he just doesn't want to be at work. respectable.

and hera is already doing the equivalent of putting on a customer service voice, seething with contempt, and then going to cry in the bathroom, like, every day of her life. so...