Tim Wu notes:
“… the central dogma of American business strategy:
maximization of size and scale, ideally to the point of monopoly. Most of
America’s large national corporations are built on this model. The exemplars,
like pharmaceutical companies, airlines and cable operators, have particularly
deep “moats” (barriers to competitive entry like patents) and fat profits.
This bigger-is-better, dominate-the-industry strategy
is a major reason the American economy is as oligarchical and homogeneous as it
is. It leads to large national companies that richly reward shareholders and
executives while limiting workers’ salaries and reducing the prospects for
smaller or local competitors. The sale of flour is no different”.