Mitotic Corporations

Discussion in 'Business & Economics' started by davidelkins, May 8, 2016.

  1. davidelkins Registered Senior Member

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    108
    What if there were a corporation that was designed to split into two daughter corporations ever x amount of time, such as once per year? Such a corporation would be a mitotic corporation, as in referring to mitosis. Mitosis is a part of the cell cycle, in which chromosome in a cell nucleus are separated into two identical sets of chromosomes and each set ends up in its own nucleus, forming two daughter cells. What would be the advantages of such a program?
    Author: David Elkins
     
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  3. James R Just this guy, you know? Staff Member

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    What are your thoughts on the possible advantages of such a program, David Elkins?
     
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  5. Ophiolite Valued Senior Member

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    And to enlarge upon James R's query:
    What do you think would be the impact on company growth?
    What do you think would be the impact on profits?
    What do you think would be the impact on mutual competition?
    How would handle rebranding?
    What do you think would be the impact on the development of strategy?
     
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  7. joepistole Deacon Blues Valued Senior Member

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    The question is why, why would a corporation want to split at a predetermined period of time? It makes no sense. Corporations don't split just because. There needs to be a competitive reason behind the decision to split. Merging and splitting can be disruptive. It kind of goes against the need for efficiency and corporations need efficiency to remain competitive - assuming markets are competitive. So there would need to be some benefit to offset the costs of splitting. And then there is this thing called economies of scale. Larger scales frequently translates to lower production costs. So the question you need to answer is, why? What benefit would be attained by splitting every year? You could easily split a company into oblivion. It's all about the value equation. And you haven't explained what value would be attained by these corporations.
     
  8. Ophiolite Valued Senior Member

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    On the other hand, Joe, the OP has - perhaps by chance - described a plausible method of building a franchise business.
     
  9. joepistole Deacon Blues Valued Senior Member

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    That's not how franchising works. Franchising doesn't split (per the OP) the franchisor in any way. A franchisee isn't a daughter of the franchisor. They are two very different companies, though they do have a symbiotic and in some cases a parasitic relationship. Facts matter. Franchising is a business model with allows the franchisor to grow a brand while limiting risk and costs. The franchisor isn't "split" in any way.

    "Franchising is a long-term cooperative relationship between two entities—a franchisor and one or more franchisees—that is based on an agreement in which the franchisor provides a licensed privilege to the franchisee to do business." http://www.franchoice.com/franchise-information-guide/what-is-franchise/definition-of-franchising
     
  10. krash661 [MK6] transitioning scifi to reality Valued Senior Member

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    how are those USA earnings joe?
    have you even seen china's issue yet?
    did you notice the DXY and eur/usd?
     
  11. Ophiolite Valued Senior Member

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    9,232
    That is precisely why I carefully inserted the word "plausible" into my statement "the OP has - perhaps by chance - described a plausible method of building a franchise business."

    Implicit in the choice of that word is full recognition of the point you have made: i.e. how franchising currently operates. But it also suggests an alternative means of creating a franchise. I'll spell out the details if they don't promptly occur to you.
     
  12. joepistole Deacon Blues Valued Senior Member

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    As I previously explained, that's not how franchising works. You don't build a franchising business by splitting up the parent company. Also as previously pointed out, you need a good business reason to split a company. In your OP you stated the company would split over a preset period of time. Time is never a reason to split a company. As previously pointed out, splitting a company is expensive. It has costs. Such mindless splitting would split a company into dysfunction and bankruptcy.
     
  13. Ophiolite Valued Senior Member

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    9,232
    And as I patiently explained I see a plausible way in which a franchise could be developed in this way. Given that I have operated a franchise as a franchisee and explored several possibilities for setting up a franchise de novo, I believe I have at least some insight to the matter.

    I never said you did. You have made certain assumptions as a consequence of having decided my claim of a plausible means is not worth inquiring into further.

    I didn't make the OP and in none of my posts in this thread have I made such an assertion. Perhaps if you took the time to think about what has been posted you wouldn't make such silly mistakes.

    If time is used as a proxy for developmental status, then it can be.

    Doing business has costs. Simply stating the obvious is not much of an argument.

    Strawman argument. The splitting would not be mindless but carefully conceived, planned, implemented and monitored.
     
  14. joepistole Deacon Blues Valued Senior Member

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    Being a franchise owner doesn't make you a business whiz or make you an authority on business. I have owned and operated a number of franchises too - not just one.

    Your assertion is clearly silly for the reasons previously stated.

    Oh, so you didn't write, "What if there were a corporation that was designed to split into two daughter corporations ever x amount of time, such as once per year"? That was the first sentence of your OP.

    Ok, you are qualifying your original OP, but again, you need a good business reason to split a business. Businesses split all the time, but they have a good business reason to do so and that is something lacking in your OP.

    I suggest you look up the meaning of the term straw man. Yes doing business has costs. If you owned and operated a franchise you should know you don't add costs without expecting some payback. That gets back to the point I have repeatedly made here. You don't split up businesses just for the hell of it. You need a coherent business reason for splitting up a company. You need a payback, and you don't have one. And you don't seem to understand, despite my repetition of this, franchising doesn't split the franchisor. So that kind of screws up your notion about splitting up companies and franchising.
     
  15. krash661 [MK6] transitioning scifi to reality Valued Senior Member

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    this is common for joe-- which is odd since he has ridiculed me, claiming i am fraudulent.. just go look at our conversation a couple of months ago, you will see his business education and experience pretending.
    joe--how are those USA earnings joe?
    have you even seen china's issue yet?
    did you notice the DXY and eur/usd?
     
  16. krash661 [MK6] transitioning scifi to reality Valued Senior Member

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    are you saying that " davidelkins " is actually " Ophiolite " --which means a sock-puppet" ?
     
  17. Ophiolite Valued Senior Member

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    I didn't claim to be a business whizz (though I have had success in several business positions), nor to be an authority on business (though I have been involved in various aspects of business for more than four decades). I simply claimed to have some insight into the business of franchises. Are you denying that owning a franchise and exploring setting up franchise would fail to give me any insights?

    And you are able to decide my plausible proposal for a novel franchising method is silly without having investigated it at all. That does not seem to be the action of someone versed in good business practices, where gathering the facts is generally considered important prior to reaching a decision.

    Amazing! I even recommended that you should read carefully before jumping to conclusions, yet you compound your mistake. Truly amazing!

    I'll try again.
    1. No I didn't write the sentence you quoted.
    2. No I didn't write an OP.
    3. No I didn't write that sentence in my first post in this thread.
    4. No I didn't write that sentence in any post in this thread.
    5. I have never written that sentence anywhere, in any post, in any thread, on any forum.

    As Krash has succinctly pointed out the OP was written by davidelkins. I am Ophiolite. I am not a sock puppet of davidelkins. Davidelkins is not a sockpuppet of Ophiolite.

    I repeat my advice: read carefully what is written (and I had better add - who it is written by) before you make yourself as an even bigger fool.

    I have a plausible reason for advocating such a split, but despite me trying to encourage you to ask me how this might work you insist on the belief that it must be silly and requires no further attention.

    And, again, nothing is lacking in my OP, because I didn't post an OP in this thread.

    And I am sure you will continue to believe that to be the case and thereby lose the opportunity to explore an interesting approach.

    I described that approach above as being novel. I need to qualify that. I am not aware of any specific franchises that have been built this way, but it such an obvious approach I should be amazed if it has not been used many times, lots of them successfully.

    Now, would you like to drop the patronising tone, address the comical reading comprehension and open your mind to options? Then we might be able to have a fruitful discussion.
     
    krash661 likes this.
  18. joepistole Deacon Blues Valued Senior Member

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    22,908
    I'm saying it's irrelevant even if it were true. It simply isn't germane to the OP. And if you knew anything about franchising as you represent you would know that franchising doesn't split up the franchisor as presented in the OP.

    What is novel about it? It's silly just to split a corporation just for the hell of it.

    No, you didn't write the OP but you have been arguing the OP.

    LOL...going to insults now I see. The fact remains your notion is silly. Companies don't split just for the hell of it because as previously explained to you splitting up is expensive and if you cannot justify the expense it's silly and reckless. This is business 1o1; you need a good business reason and that is something you heretofore lack. You haven't been able to explain how arbitrarily splitting up a company just because some period of time has transpired somehow makes sense. As has been previously and repeatedly pointed out to you, that isn't franchising. It's stupid, that's probably why no one has done it.
     
  19. Ophiolite Valued Senior Member

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    9,232
    Joe, I have not been arguing the OP. I suggested that there was a plausible notion of how the OPs idea could be applied to franchising.

    In an ongoing display of arrogance and ignorance* you rigidly reject this could even be possible. And, despite multiple attempts (one in every post) to encourage you to ask me how it might be done, you simply stick to your narrow minded simplistic mantra: If Joe Pistole cannot see how it can be done then it cannot be done.

    We could have had an interesting discussion as to whether or not my plausible concept was indeed a practical concept, but you considered it more important to indulge in an alpha-male display. (By the way, you are not very good at that. Practice, Practice, Practice.)

    Shame really.

    * This is not insulting. This is objective observation, though you would be right to be embarrassed by your behaviour.
     
    krash661 likes this.
  20. krash661 [MK6] transitioning scifi to reality Valued Senior Member

    Messages:
    2,973
    joe--how are those USA earnings?
    have you even seen china's issue yet?
    did you notice the DXY and eur/usd?
     
  21. pjdude1219 The biscuit has risen Valued Senior Member

    Messages:
    16,019
    still pushing your own flaws onto others. look if all your going to do is try and troll and pretend your ignorant ass is better than everyone else just don't bother.
     
  22. krash661 [MK6] transitioning scifi to reality Valued Senior Member

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    2,973
    ummm okay?? feeling offended much from my " pretending " comment?
    PJ-- how are those USA earnings ?
    have you even seen china's issue yet?
    did you notice the DXY and eur/usd?
    remember that conversation between us three? -- look how both of you were/are wrong. where were both of you during the etp model topic? both of you are still pathetic jokes in my book.

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    Last edited: May 10, 2016
  23. krash661 [MK6] transitioning scifi to reality Valued Senior Member

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    2,973
    Last edited: May 10, 2016

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