Friday, January 21, 2011

The Texas Network

You don’t make $80 MM profit every year without pissing everyone off

Ok, let’s say that I am one of 10 phone makers in the South. Myself and the 9 other companies all represent AT&T.  All of the money we generate, and all of the hype we generate benefits not only ourselves but also AT&T.  If I’m AT&T, it doesn’t really matter who of the 10 of us does well, it just matters that a) AT&T has a representative in the discussion versus Verizon, Sprint, T-Mobile, Boost, etc. and b) cellular phones, in general, maintain their growth and popularity.

Now, my company happens to make the most money of the 10 companies, and my company gets first pick when it comes to the best talent to be hired: creative people, sales people, technology people, you name it.  The best talent usually chooses to go and work for one of the top 3 companies in the area.

Because my company has the most money, and because my company’s phone is one of the e most widely used phones, to the point that a lot of the nation inside and outside my area has my phone, I am able to broker a deal with the Belo Companies to have my own page in the Dallas Morning News, my own site on, and a my own spot on WFAA to be run during every show.  It benefits me because I get to promote my product, and it benefits Belo because their relationship with me ties my loyal patrons to them as well.

AT&T benefits because they get high profile.  Cellular phones benefit because they get more promotion.  My company benefits because of the deal that I have struck with a media channel.  In the business world, I would be heralded for smart business sense and I would be lauded for the deal that I have made.  Would my competitors be mad?  Sure, but it isn’t my job to make sure my competition does well.  As long as AT&T has a competitive phone against the other companies, it doesn’t matter because AT&T can still compete.  Other companies can switch allegiances to Verizon and what-not, but AT&T is too recognizable to not be in the “who’s the best cell phone provider in America?” argument. 

So…explain to me again, how is it Texas job to take care of the rest of the conference and why are Oklahoma and A&M screaming foul?

No comments: