“Made in USA” is well on it’s way from being a symbol of quality to implying a lack of. Don’t get me wrong, I’m a big proponent of domestic manufacturing. But there are an outsized number of executives who don’t seem to get that when you make shitty products, you will alienate all your customers who will then no longer buy your shitty products. That kind of reputational damage is incredibly hard to recover from. Especially when you make airplanes that have a tendency to fall out of the sky which is sort of a deal breaker for people who want to buy an airplane. Hope it was worth jacking up their stock price for five minutes.
US Cars have been an international joke since the 70s. And Boeing’s success is largely in contrast to McDonald Douglas, which crapped out back in the 90s and was forced into a merger to get bailed out. This isn’t an issue of “American Quality” so much as it is an issue of “Traditional manufacturing methodology” being whittled away over time by profit-obsessed shareholders and C-levels.
Boeing was a little late to the party, but that’s got nothing to do with American symbology. Everyone from Intel to Burger King have been on this trajectory for decades.
Hope it was worth jacking up their stock price for five minutes.
It was for the CEOs who already cashed out and abandoned the company, yes.
There’s nothing inherent to running a business that implies cannibalizing one’s own brand reputation for short term profits. That sort of behaviour reeks of an inexperienced and perverse management culture. You can find countless examples of businesses where the brand’s reputation for quality, reliability, and safety are considered sacred and any employee who publicly damages that reputation is ostracized. Japanese companies pretty commonly have these cultures, for example.
They replaced their management, who were mostly engineers with MBA’s, to business majors with MBA’s who worship Jack Welch. The IQ in the room plummeted as the ghost of Welch demanded sacrifices for short term gains so they might one day get their golden parachute.
There’s nothing inherent to running a business that implies cannibalizing one’s own brand reputation for short term profits
True but only for a snapshot in time. When the expectation of the environment is unlimited growth and profit above all else, the quick cash out in lieu of long term gains is inevitable sooner or later
You can find countless examples of businesses where the brand’s reputation for quality, reliability, and safety are considered sacred and any employee who publicly damages that reputation is ostracized. Japanese companies pretty commonly have these cultures, for example.
Oh outside of the USA yes, I can see that… In the USA, I think I would count such examples with 1 hand (talking about large companies and corporations, not Mom and Pop shops of course)
Generally a business runs for profit. They teach people in business school to maximize profits. So there kind of is something inherent to running a business that implies cannibalizing one’s own brand reputation for short term profits. There is always that incentive to give the least amount for as much as you can take.
Japanese have immortalized a concept called “Black Company” and “Death March” where they push their employees into so much overtime that they literally die or risk losing their livelihood. Which is probably not great for long term or their reputation.
That’s true that shareholders and stock evaluation are main drivers for this phenomenon, but Private Companies aren’t necessarily more saintly than companies with Public Offerings.
True, but in my experience, selling stock publicly is the ticket to hell. No matter how much of your company you think you still own, you’re going to be driven to make higher profits every quarter, no matter the cost. If you don’t comply, they will replace you with someone who will.
This. It’s exchanging long term success for short term wins. I doubt they are going to be the only victims of business over engineering. It’s going to be a slow burn for a lot of companies. Most companies that go this route will slowly crumble as their products enshitify, but the thing is, in most cases, no one will get hurt.
This should have never happened in the aerospace industry.
When you run an engineering company as a business, you wind up with no business at all
“Made in USA” is well on it’s way from being a symbol of quality to implying a lack of. Don’t get me wrong, I’m a big proponent of domestic manufacturing. But there are an outsized number of executives who don’t seem to get that when you make shitty products, you will alienate all your customers who will then no longer buy your shitty products. That kind of reputational damage is incredibly hard to recover from. Especially when you make airplanes that have a tendency to fall out of the sky which is sort of a deal breaker for people who want to buy an airplane. Hope it was worth jacking up their stock price for five minutes.
US Cars have been an international joke since the 70s. And Boeing’s success is largely in contrast to McDonald Douglas, which crapped out back in the 90s and was forced into a merger to get bailed out. This isn’t an issue of “American Quality” so much as it is an issue of “Traditional manufacturing methodology” being whittled away over time by profit-obsessed shareholders and C-levels.
Boeing was a little late to the party, but that’s got nothing to do with American symbology. Everyone from Intel to Burger King have been on this trajectory for decades.
It was for the CEOs who already cashed out and abandoned the company, yes.
I understand the label is practically not enforced with very nominal fines if you’re found in violation.
“Made in the USA” can be sewing on the label in a factory that hires >50 people.
There’s nothing inherent to running a business that implies cannibalizing one’s own brand reputation for short term profits. That sort of behaviour reeks of an inexperienced and perverse management culture. You can find countless examples of businesses where the brand’s reputation for quality, reliability, and safety are considered sacred and any employee who publicly damages that reputation is ostracized. Japanese companies pretty commonly have these cultures, for example.
They replaced their management, who were mostly engineers with MBA’s, to business majors with MBA’s who worship Jack Welch. The IQ in the room plummeted as the ghost of Welch demanded sacrifices for short term gains so they might one day get their golden parachute.
True but only for a snapshot in time. When the expectation of the environment is unlimited growth and profit above all else, the quick cash out in lieu of long term gains is inevitable sooner or later
Oh outside of the USA yes, I can see that… In the USA, I think I would count such examples with 1 hand (talking about large companies and corporations, not Mom and Pop shops of course)
Generally a business runs for profit. They teach people in business school to maximize profits. So there kind of is something inherent to running a business that implies cannibalizing one’s own brand reputation for short term profits. There is always that incentive to give the least amount for as much as you can take.
Japanese have immortalized a concept called “Black Company” and “Death March” where they push their employees into so much overtime that they literally die or risk losing their livelihood. Which is probably not great for long term or their reputation.
It’s called “Wall Street”.
That’s true that shareholders and stock evaluation are main drivers for this phenomenon, but Private Companies aren’t necessarily more saintly than companies with Public Offerings.
True, but in my experience, selling stock publicly is the ticket to hell. No matter how much of your company you think you still own, you’re going to be driven to make higher profits every quarter, no matter the cost. If you don’t comply, they will replace you with someone who will.
Countless examples? I can’t name ten.
This. It’s exchanging long term success for short term wins. I doubt they are going to be the only victims of business over engineering. It’s going to be a slow burn for a lot of companies. Most companies that go this route will slowly crumble as their products enshitify, but the thing is, in most cases, no one will get hurt.
This should have never happened in the aerospace industry.