Aikido Activism

topic posted Tue, May 18, 2004 - 2:58 PM by  Spidey
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The idea is that corporations wield immense power because of their economic might. Why not take a strategy of activism (aiming for the same thing hippies and most any other movement has looked for, more joyful and sustainable living) to the corporation -- Aikido Activism?

There is a tribe by the same name where the essay "Aikido Activism" is posted: aikidoactivism.tribe.net/

Can you imagine if Microsoft or IBM or American Express actually had an activist agenda, instead of a myopic profit one? How can this be turned around (and can Aikido Activism help)?

Thanks for any ideas and comments..

Spidey
posted by:
Spidey
SF Bay Area
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  • Re: Aikido Activism

    Tue, May 18, 2004 - 11:39 PM
    wow...
    i wonder if it's possible for existing corporations to make such a radical shift of focus. it would seem more likely that it would work the other way around--that activists and ex-hippies would form corporations to access more power (or form alliances with those already in power).

    for example, a corporation in a third world country that is responsible for the country's water supply: the CEO would have to have a heavy acid trip or a major Kundalini awakening to suddenly realize that every human deserves clean drinking water and should not have to pay for it. it does not seem likely that this can occur without a major movement connecting the ones who 'know' with the ones who can make it happen.

    my 2 cents.. cool idea....

    M7
    • Re: Aikido Activism

      Wed, May 19, 2004 - 8:38 AM
      I want to keep an open mind on this one. I went from first thinking it would have to come from the activism side, then I thought about whether it would be harder for an activist to build a successful corporation or for a corporate exec to get that "major Kindalini awakening", and I began thinking that it could be the latter. I guess the truth is it COULD be either. I have always thought progressively, and have found plenty of frustration in the corporate world, and I am aiming to start a NEW company based on Aikido Activism. Maybe that is the model that is most likely to get initiated (someone already with feet in both ponds, and especially at the VERY START of a venture, because once you have the corporate charter, that first "myopic profit" VC investment, you have pretty well set the keel, eh?).
      • Re: Aikido Activism

        Wed, May 19, 2004 - 12:52 PM
        so perhaps activists need to turn their efforts toward educating the big guys, rather than trying so hard to change the world on their own. maybe by offering seminars for the corporate executives to learn how they can synthesize the interests of their company with global healing, we might get somewhere. if this ever got going, it could actually revolutionize our government structure, as there might form a hybrid political party.

        m7
        • Re: Aikido Activism

          Wed, May 19, 2004 - 1:08 PM
          There's a problem with this concept that you'll need to overcome--it's against the law. I'm not making this up. It was established in Ford v. Dodge that the only legitimate goal of a corporation is profit-making, within the bounds of legal conduct. Henry Ford wanted to reduce the price of cars because he wanted to empower the common man by making transportation readily available. The Dodge brothers, investors in Ford's corporation, wanted to make every buck they could. The Supreme Court agreed with them and forced Ford to raise the price of his cars. They scoffed at the notion that a corporation is anything other than a profit-making enterprise and basically told Ford to go do his dreaming on his own dime.

          Until you can change that essential fact about U.S. law, any move by a publicly-traded corporation to set any goal higher than profit would almost certainly result in lawsuits by shareholders to have the officers and directors of such a company fired and replaced. The shareholders would win that suit. Short of changing the law, about the only thing you can do is have a corporation be privately-held, with all major investors agreeing on the other-than-profitmaking goals. But that's hard, because without being publicly traded it's hard to get a lot of capital so that you can actually be a player.

          This phenomenon is one subject of an article I'm writing on outrages of U.S. law.
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            Re: Aikido Activism

            Tue, June 1, 2004 - 4:55 AM
            I don't know, maybe it's not such an outrageous decision. When a shareholder invests in a corporation there is a implicit agreement that the goal is to make a profit. For the corporation to rescind on this goal is dishonest in a way. From a utilitarian standpoint it may seem that this dishonesty is justified since it seems to be for the common good. I don't know what the court's reasoning was but it is possible that the court saw the possibility that the decision to allow the CEO that much power might have harry legal and economic implications. For example, perhaps it was not the issue here, but say Ford was to do that today, and cut the prices of cars down to $500 a piece. This could ravage the economy by straining other automakers, perhaps driving them out of bussiness, which would ultimately end up doing much more harm than good (all those people put out of work). Perhaps the court thought it important to set a precedent to avoid a situation like this. Courts do have to sometimes think like that, and US courts are especially disposed to such decisions do to the influence of John Adams.

            I have left of center views on economic issues but I'm just saying that perhaps the decision doesn't merit a label of "outrageous." You have to admit that economics isn't a simple issue despite the claims of communists and thier polar opposites - objectivists. It's not an exact science. No one knows the best way to control an economy, or what parts even *should* be controlled.

            That being said, I think this idea of Aikido Activism is very good. As long as all parties involved, including investors, know the greater risks involved.
            • Re: Aikido Activism

              Tue, June 1, 2004 - 6:35 AM
              Well, I think it was an outrageous decision for a couple reasons. First, the tenor and tone of the court in just ridiculing the idea that a corporation could have any legitimate social goals was not appropriate language coming from highly placed public policy makers. It put the supreme court on record as saying that the private sector essentially has no business making the world a better place. Forget economics for a minute, that's just bad precedent. Long-term societal goals should be a considered element in ALL public policy, period.

              The second reason is more legalistic. Corporations are treated as fictitious people by U.S. law. In fact, contracts specify "natural persons" to mean actual people, because "persons" is generally accepted to mean people or corporate entities. Corporate "persons" enjoy the full range of Constitutional rights. While commercial speech is a little more limited than the speech of natural persons (hence no tobacco commercials on TV), there are very few restrictions on corporations that don't also apply to humans. That means that corporations enjoy a range of benefits and privileges under the law. And yet, the corporation is not held to any account for the social impact of its actions, except by boycott, labor strike, or other people vs. corp. action. By contrast, a human's conduct is regulated not only by criminal law, but by peer pressure, family and community scrutiny, the need to keep a job, etc. There are social mechanisms that regulate individual behavior that do not exist to regulate corporate behavior. Of course, some people can still be unscrupulous, but they pay a social cost in isolation and opprobrium. The corporation gets the benefits of personhood, but without the same restraints.

              I hear your argument, and from a clinically economic point of view I could agree. But I guess I disagree with the premise that any economic decision can properly be made in a vaccuum. Economics are not laws of physics, it is entirely a human construct. No humans, no economics. Consequently the rules are whatever we decide they are. They don't HAVE to be any particular way. So if the choice is ours, why would we create economic actors that ignore their role vis-a-vis humanity? To me, that is not merely amoral, it is actually immoral because it places a fiction on a pedestal above facts. The facts are that people ARE affected by the actions of corporations, and that impact has broad societal implications. The fiction is that concern about such matters is irrelevant to the function of the corproate entity. Well, only if we say so. If the Supreme Court had come out a different way, then maybe every corporate decision would have to balance profit-making against social and environmental impact. I believe the Ford v. Dodge decision was outrageous because the Supreme Court had the choice to inject that concern for humanity into the U.S. business architecture, and declined to do so. I believe a decision of that nature can be appropriately viewed as hostile to the interests of all humanity.
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                Re: Aikido Activism

                Tue, June 1, 2004 - 7:03 AM
                Concerning the second paragraph:
                I am familiar with the corporation = person issue, and I don't think this decision has to rely on a corporation being a "naturaul person".

                Concerning your last paragraph:

                I never said any economic decision could be made in a vaccum. And I don't believe your contention that the ruling says "the private sector essentially has no business making the world a better place." All they may have been saying is that Ford's actions were a breech of contract between him and his investors. I think your commiting a straw man fallacy with your argument. For one thing, the issue was betweeen Ford and his inveestors, so from a legal stand point whether or not Ford Corp. can "make the world a better place" is a non-sequitur. The judges seemed to be simply saying that Ford broke a sort of contract between him and his investors. I'm willing to bet that if Ford had made it clear to his investors that Ford Corp. was not solely out to make a profit, then the case would not have ever made it to court (even if the investors had invested). Like I said, Ford apparently decieved his investors.

                Do you really imagine these judges as people who cringe at the idea of the world being a better place?
                • Re: Aikido Activism

                  Tue, June 1, 2004 - 7:47 AM
                  <Do you really imagine these judges as people who cringe at the idea of the world being a better place?>

                  No, but I think they intellectually separated their interests in humanity from their legal analysis, to the detriment of all. I mean, at one level, that's what they're *supposed* to do -- this is why justice is represented as "blind"--judges are supposed to apply law to facts without regard for the implications thereof. But I would argue that it is also inappropriate to undertake legal analysis without regard for human impact or long-term consequences. Whatever you or I think about it, these issues WERE resolved in a vaccuum, and I belive that was inappropriate. Actually, to the extent that the judges did bring their personal views to bear, it was probably to react negatively to Henry Ford's conduct on the witness stand. He spent hours waxing eloquent about social equality and his role in bringing justice to all. The judges, a bunch of hard-line victorian-era types, were reputed to have not been amused at all.

                  There is a saying that "bad facts make bad law." That seems to have been the case here. Ford probably could have gotten away with what he wanted to do if he had been less platitudinous about it. But he wasn't, and so the justices felt the need to stomp his argument and grind it underfoot, lest there be any mistake. The consequence--no legitimate raison d'etrs for a publicly held U.S. corporation other than profit making. The U.S. citizenry loses.

                  Just to reinforce this point, there is a movie coming out soon called, I think, "The Corporation." In it, the film maker approached several psychologists, sociologists, and other social scientists with the question "if a corporation is a person, legally, what kind of person is it?" The answer -- a sociopath. In anthropomorphizing the corporate entity they discovered that it acts without morals, and without regret. If it was a real person, it would be considered very dangerous and would probably be institutionalized or incarcerated. Moreover, the corporate sociopath drives its amoral behavior down and through its otherwise moral, thinking human employees. They did a series of expiriments, for the movie, that looked at what people would do inside and outside of work. It turns out that people will do things at work, for work, that they would never do in their own lives. So the corporate person is not only a bad person in and of itself, it also has a corrupting influence on the people around it. I think this state of affairs is somewhat attributable, ultimately, to the Ford v. Dodge decision.

                  sidenote--the decision wasn't about breach of contract. It was a shareholder derivative suit relating to fiduciary duty. Basically, officers and directors of a company have fiduciary obligations to their shareholders, which means (as established in that case), that maximizing profit and return to the shareholders is the only legitimate activity of the officers and directors, so long as they comply with the law. So, in fact, the court really did say that corporations have no business making the world a better place. They exist to serve Mammon, and for no other reason. My whole point is, I don't like that result and I'm not comfortable with it. I'd rather live in a world where every decision is made with regard to its impact on the seventh generation from now. And until we, as a society, start to think that way and institutionalize such thinking, we're just going to continue down the non-sustainable, dehumanizing road we've been on since the Industrial Revolution. I think we can do better, that's all.
                  • This is the maximum depth. Additional responses will not be threaded.
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                    Re: Aikido Activism

                    Tue, June 1, 2004 - 11:47 AM
                    Why do you keep on bringing up the corporation = naturaul person issue. I don't think it relates to this except very indirectly.

                    Even capitalists believe in the common good in a less blatant and remote way. For example, Ayn Rand while shunning altruism, shuns it because she thinks it is bad for society. Now to be clear, I don't agree with that. But who knows, maybe she is right. The judges made thier decision based on ideas that they thought were for the common good. And it wasn't even so extreme a position as Objectivism. A fiduciary obligation is a contract of sorts, and the investments were made with an implicit understanding that Ford violated. Setting such a precedent could in the long run be very bad for the common good. Maybe not, but it's hard to say, I can definitley imagine situations where it would be.

                    And the judicial branch has a very specific purpose. There is a reason they were given one task and one task only - to interpret existing laws. Overstepping that gives rise to things like that fundamentalist judge in Alabama refusing to take down the ten commandments, or the judges that let racist murders off in the South during the earlier part of this century. And in contrast, following the correct practice led Massachussetes judges to make a perfectly legal and good decision - despite the ignorant rhetoric of some conservatives.
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                      Re: Aikido Activism

                      Tue, June 1, 2004 - 11:48 AM
                      concerning the comment about Massuchusetes judges - I meant the recent decisions about gay marriage.