Don't think there's much. Labour seems to be more of a variable cost than a fixed cost. So fewer economies of scale. Different to the case of regulatory compliance which seems to be more fixed cost-like.
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In my experience helping big corps adapt, small cos are *much* better at automating tasks and using tech to maximise leverage per person. Admin in big cos is distressingly manual.
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Trying to think of an example where that would be the biggest barrier to competition and I can’t offhand. If the minimum wage disappeared tomorrow, Walmart’s moat would be just as big, and indie coffee shops would still be able to compete with Starbucks.
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Concur. If your competitive advantage is your lowest paid employee then you don't have much of point of difference over any competitor. The next step is out sourcing to a lower cost country, or get bots to do the work.
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Tbf a lot of companies can (and do) export jobs to third world countries. But also I don't really understand the "all jobs must be able to sustain the livelihood of someone working it." What about part time or multiple jobs? What if you want a side gig?
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Companies do this if they’ve got the right idea and are self aware enough as a group to retain and use their talent.
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The incentive to give people people high wages is there, and self awareness is possible, while a gov mandate raising minimum wage pushes the youngest workers (high schoolers in need of experience for pocket money) out of the workplace. I’m wrong about a lot of things though!
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Usually they don't want changes. This means that they don't initially push for it, but when it happens, they don't want it go away anymore.
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Big corps are far more able to substitute capital (machines) for labor than small shops. Costs are less impacted by min wage and competitive position enhanced by increase. Entry isn't the primary story, but it is consistent.
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