NLPC seeks to promote integrity in corporate governance, including honesty and fair play in relationships with shareholders, employees, business partners and customers. In doing so, NLPC places special emphasis on:
* Asserting that the social responsibility of the corporation is to defend and advance the interests of the people who own the company, the shareholders. True responsibility is fidelity to one’s own mission, not someone else’s, or someone else’s political agenda.
* Exposing the seeking of influence on public officials by corporations, which is the inevitable result of high levels of government spending and intervention in the marketplace.
* Combating practices that undermine the free enterprise system, including philanthropic giving to groups hostile to a free economy.
It may be the height of irony that a company that was supposed to soar to the top of the new clean energy economy, with the help of U.S. taxpayers to undergird President Obama’s stimulus visions, has instead left both an environmental and financial mess after its demise.
Yet that’s exactly the case with miserable failure Abound Solar, which the president’s Department of Energy thought so much of, they awarded it a $400 million loan guarantee. That proposition quickly soured and the government halted payouts after about $70 million. The company went bankrupt in June 2012, leaving taxpayers out between $40 million and $60 million that was never recovered.
There was other collateral damage, not the least of which was a huge toxic mess from unused panels and abandoned chemicals at Abound’s former facilities. The environmental nightmare was discovered earlier this year, but this month – thanks to … Read More ➡
The past month has brought much confusion and concern for General Motors’ shareholders regarding the most important and profitable segment of sales for the company. As the company prepares to report earnings for the third quarter this week, media reports are still unclear on just what is going on with GM’s new truck lineup; specifically pertaining to the reasons behind the disappointing sales figures that were reported for the month of September when Ford’s truck offerings left them in the dust.
While GM’s Obama-appointed management spun the story (claiming supply could not keep up with demand) to some in the media who are gullible enough to print the misinformation without question, some GM dealers were more honest with their assessment.
GM’s management has lots of experience when it comes to trying to deceptively explain away poor sales of much-hyped vehicles. The Chevy Volt has never lived up to … Read More ➡
Last week it was Walmart CEO Mike Duke’s duty to find an explanation for continuing declines in same store sales, as the company hosted its 20th Annual Meeting for the Investment Community on Tuesday.
Despite the fact that the most recent quarterly report ended in July and brought a surprising (to analysts) .3 percent drop for the second quarter, when a one percent gain was expected, Duke cited the two-week old government shutdown and a “tough and unpredictable global economy” as reasons for the poor performance.
“It should come as no surprise that the government shutdown is on the minds of our U.S. customers,” Duke told his audience. “As you would expect, we’re following the situation very closely.”
Of course the shutdown came long after the second quarter reports, so there had to be other explanations.
“The competition is also tough,” Duke said. “I see it when I … Read More ➡
It looks like General Motors is going through an identity crisis as its marketing strategy has flip-flopped by changing its targeted audience. The new General Motors’ truck ad, “Strong,” targets conservatives by honoring a heroic and manly GM truck buyer with lyrics that describe him as a “love one woman for all his life” type of guy who arrived at work on time for twenty straight years. The rugged, heterosexual identity of today’s GM differs greatly from last year’s politically correct version when the company won praise for running a “gay” Chevy Volt ad and for flying rainbow banners to celebrate America’s sexual diversity.
A consumer survey taken last week on behalf of the National Legal and Policy Center confirms that public disapproval of the auto bailout continues to dog General Motors, and is likely hurting pickup truck sales, a highly profitable segment of its line.
When 500 consumers in Texas were asked, “Would your decision to buy a specific brand of truck be influenced by whether that company received financial assistance from the federal government?,” 40.08% answered “absolutely.” Another 11.75% responded “very likely,” and 10.60% responded “likely.” Thus, more than 60% said that the bailout would have some influence on their decision.
Only 23.89% responded “not too likely.”
Texas is the largest truck market in the country, with more sales than the next three states combined.
The release of the survey results comes amidst a major advertising campaign for GM’s full-size trucks – the Chevrolet Silverado and GMC Sierra – with significant visibility … Read More ➡
One of the most disappointing aspects of last week’s sales results from General Motors was the underperformance of the much-hyped new truck offerings from the company. While the industry-leading Ford F-Series saw sales increase about 10 percent to around 60,500 vehicles for the month, GM’s combined sales for its competing Chevy Silverado and GMC Sierra fell approximately 8 percent to about 46,000 units.
GM’s Obama-appointed management’s performance in trying to explain the declining sales was as lame as the sales results. Amongst the excuses for disappointing truck sales, GM did not include the possibility that a hangover from the auto bailout is contributing to the dip and to many consumers GM still stands for “Government Motors.”
Demographically, truck buyers are older, less urban and more politically conservative than other consumers, just the kind of people who are responsible for all the internet postings along the lines of, “I’ll never buy … Read More ➡
All too often, maintaining an enterprise, especially a new one, depends on knowing the right people in government from whom to acquire favors. Such an arrangement has come to be known as “cronyism.” And it justifiably has its critics. Among them are Randall Holcombe and Andrea Castillo, authors of a brief, but potent and timely new book, “Liberalism and Cronyism: Two Rival Political and Economic Systems,” published by the Mercatus Center, a think tank affiliated with George Mason University. Holcombe, a Florida State University economics professor, and Castillo, a Mercatus associate, view cronyism as the antithesis of liberalism. Rather than establish clearly- defined and evenly-enforced rules of behavior (as liberalism does), cronyism subordinates business decisions to political ambition and connections. It’s a science that the Obama administration in particular has taken to a new level.
To understand cronyism requires an understanding of its putative antidote: liberalism. The authors … Read More ➡
A fire (screen capture from Jalopnik.com) that torched a Model S from the formerly Teflon Tesla Motors on Tuesday blackened its front end, lowered its stock price, and (further) revealed a corporate arrogance not seen since Fisker Karmas were alight.
But CEO Elon Musk saw to it that taxpayers were fully paid back their $465 million Department of Energy loan, so as watchdogs over the public purse we can forget all about it and just go on about our business – right?
Wrong. The incident near Seattle still should be of great concern because Tesla still heavily depends on tax breaks (like the consumer’s $7,500 federal credit) and the sale of emissions credits (mainly from California) to partially subsidize the costs of their electric cars. Moreover, the government has invested billions of dollars in the research and development of new battery technology, all in the name of energy efficiency … Read More ➡
General Motors reported unimpressive sales results for the month of September as sales fell 11%. Core division, Chevrolet, performed the worst with sales down almost 15% year over year. Within that division, sales for the much-hyped Chevy Volt could not even be propped up with its recent $5,000 price cut as results declined to a measly 1,766 units (less than one per dealership) in September. That is a decline of over 38% year over year and just over half of what sold in the previous month.
The floundering sales of the Volt saved taxpayers some money over August when federal subsidies totaled more than $25 million. The federal tax credits for September ring in at about $13.2 million. Taxpayers are on the hook for millions of dollars more in state subsidies, as well.
My best guess for why sales of the unwanted Volt are doing so poorly compared to … Read More ➡
We now have had some time to digest the groundbreaking news from General Motors that it is working on a “Tesla-Killer” electric car that will get 200 miles on a charge and cost about $30,000. The most obvious takeaway is that the news is more unfounded green hype from GM, something that they have been guilty of in the past when they over-promised on the Chevy Volt. The best indicator of how serious a challenge to Tesla the new report really is would be found in Tesla’s share price, which has gone from about $165 a share at the time of the news to the current price at around $185. While that barometer would give the indication that GM is once again exaggerating the potential for its latest green miracle car, let’s assume that the technology to develop a car that goes 200 miles on an electric charge at a … Read More ➡