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For a small company, a sole-prop dentist for example -- I don't. There is not enough motivation or sophistication or dollars on the table. For PE backed congl
by edoceo 3y ago
For a small company, a sole-prop dentist for example -- I don't. There is not enough motivation or sophistication or dollars on the table.
For PE backed conglomerates I care because they can and do hide shady things in there. There is more motivation to juke the stats; more sophistication and dollars on the table. Sadly, because these companies are not public, when their anti-consumer operations are discovered there is little news about it. That results in a situation, for example, where folk don't think there is any reason to care about the issue.
- scarface_74 3y agoAgain why do you care as a consumer? If they aren’t getting money from the public market and no taxpayer money, how does that affect you? Whether the company is public or private they still have to follow the relevant laws for their industry.
- edoceo 3y agoI care because these PE backed firms can (and do) screw the consumer (me, my family, my friends, you) and there is no visibility. Do you understand it's possible to follow the law and still use greed to screw the consumer? Are you being intentionally naive?
- scarface_74 3y agoI’m asking you for a specific case where a PE firm could specifically screw you and you have no choice but to be a consumer in a way a public firm couldn’t?
- QuadmasterXLII 3y agoHe gave a specific case of PE attemting to scam him in a way that not only steals money from him, but would literally irradiate his face
- scarface_74 3y agoAnd what does that have to do with how the company is financed? Public GAAP disclosures have absolutely nothing to do with whether the company is harming people or following applicable laws for their industry.
- BobaFloutist 3y agoWhen you learn a company has been purchased, you adjust your priors on their behavior (based on past behavior, reputation, etc). When Amazon bought One Medical, I expected the product and the customer service to be slowly watered down. If it happens invisibly, I'm operating on historically established trust that is outdated, and I have no way to know it.