Capitalism


Mountain Equipment Co-Op, one of Canada’s biggest retailers of outdoor equipment, has pulled it’s Nalgene brand bottles off the shelves. The move comes amidst growing concern (such as my concern) surrounding bisphenol A, a chemical that mimics estrogen in the human body.MEC (Mountain Equipment Co-op) Logo

The chemical is claimed to be benign by the plastics industry, but American government tests have linked it to various health problems.

I feel slightly vindicated, even though my voice on the issue was just one of many. Still, to see a retailer take precautionary measures - even if self-preservation was a bigger motivator than altruism - such as these is somewhat inspiring.

Perhaps this is a sign that the petrochemical plastics industry, despite it’s insistence that the chemical is safe, is about to bow out to public pressure. After all, even if the chemical isn’t as dangerous as some tests have shown it is still a negative for their PR departments.

Once again I question whether or not this is the only chemical available that can produce these types of plastics. Is it not very possible that, as this chemical is derived from the oil refining process, they need a use for it to maximize profits? If it was a dangerous waste chemical instead of a universally useful one, oil companies would lose money on the refining process (and probably end up paying more to dispose of it properly).

Call me a cynic or a conspiracy theorist, but when government and independent tests showThe green roof of MEC’s downtown Toronto store. something to be dangerous and industry tests show it to be safe, I have a hard time with trust.

Don’t you?

So what is there to do? Unfortunately this stuff is in all sorts of consumer products, many of which package things you ingest - aluminum can linings, plastic bottles (including baby bottles [!]), dental sealant, sunglasses, etc. You could do yourself a favour by taking a stainless steel bottle instead of a plastic one, and feeding the little one out of glass jars and bottles instead of cans or plastics.

As far as Canadians are concerned, our health department (Health Canada) and the province of Ontario are both conducting independent government tests on the issue, so we should have some good strong conclusions to look at. Check the story here.

Or so the Canadian Anti-Counterfeiting Network (CACN) would like you to think.

In a “special section” on counterfeiting in Saturday’s Toronto Star, Canada’s most widely read newspaper, the CACN ran three massive, half-page ads. The first featured a portrait shot of an adorable little girl, her puppy-dog eyes moist for the camera. Next to her in bold type: “WOULD YOU RISK HER LIFE?

Hike - the best fake item line ever.Well. Would you?

The section, all six pages of it, had a similarly biased tone. Counterfeiting is evil, here’s why, end of story. One major issue for the CACN and the Star, who clearly worked hand in hand on this one, is the apparent acceptance Canadians have for rip offs. We love a deal. What’s more, Canada has become a major transition point for counterfeit goods on their way to the US. We’re even a world leader in that infamous counterfeit trend: the guy in the movie theatre with a camcorder. And who said the rising dollar would hamper the film industry, huh?

Let’s consider couple things, here. First off, is counterfeiting really as evil and dangerous as the CACN would have you believe? Secondly, is the tone of the message here - guilt tripping, fear mongering, etc - really going to be effective, considering our already blasé attitude?

Counterfeiting “risks the health and welfare of Canadians who are exposed to poorly made and often dangerous goods,” reads one CACN advert. Even without evidence to back this statement, it is a reasonable argument. We should be able to trust that certain things, such as electrical products and pharmaceuticals, be genuine. Unregulated pharmaceutical drugs are dangerous - even if they don’t have negative health effects, they do negate the positive effects which can be life-savers. That said, the biggest victims of counterfeiting - fashion, film and recording companies - cannot use the same argument. A pirated copy of Spiderman won’t poison you, and those ripoff Gucci boots won’t fall apart as you’re free-climbing in Yosemite.

I would risk my daughter’s life to save a few grand. If I had a daughter.

As well, the CACN makes no mention of legitimate items containing potentially dangerous substances. The great Chinese toy recall, involving several companies, was in regards to licensed products. The pet food scare, again, occurred in legitimate factories. How many faulty car parts have led to massive recalls? Is everything dangerous for me? Isn’t this really an issue of undercutting profit margins? Isn’t this really about huge companies used to having their way, who are suddenly confronted with a real and serious challenge to their grip on the global economy?

Herein lies the issue that these companies are ignoring: what gave rise to the counterfeit industry?

The largest corporations and industries, for all their touting of the inherent positivity of market forces, cannot tolerate the ebbing of their control. As they inflate prices further and further (you’re telling me aThe Chinese love Luis thousand dollars for a handbag is reasonable?) they alienate a larger and larger portion of the population. The kind of people who would NEVER spend that kind of money on a fashion item couldn’t care less about intellectual property. Making it worse for legitimate designers is the popular desire to be drenched in brands. People simply cannot afford to own the real stuff, but they also cannot be caught dead outside their front doors without sixteen logos. As you raise the price of your brand, as well as the desire for it, you invite counterfeiting. People know that your profit margins are in the hundreds of percentage points, that the twenty dollar version is only slightly inferior, and that no one can really tell the difference. Why would they spend the full amount? So screw it, if they can rock some sweet D&Gs for fifteen bucks, so be it.

With this attitude so pervasive in society, the heavy-handed message the CACN promotes will only serve to hold back their cause further. When I feel patronized, talked-down to, and generally taken to be ignorant, I usually ignore the message. One CACN message splashes the headline: “COUNTERFEIT PRODUCTS FUND ORGANIZED CRIME.” So do illegal narcotics, and full-scale prohibition against them hasn’t stemmed their tide, has it? I think people have a real rationalization here:

If I could give twenty dollars to organized crime for fake sunglasses, or four hundred to some giant multinational corporation for real ones, I’ll go fake.

I can’t say I’d blame them, either.

Perhaps the fashion industry should embrace the existence of cheaper versions of their products, just as the recording industry has begun to turn a profit off downloadable music: iTunes and Napster, as examples. I’d love to see a Prada store with a discount section - cheaply made, ripoff versions of their stuff available for one tenth the price. Discerning tastes, with the wallet to match, would still toss away a small fortune on the genuine article, while us lower classes would still be able to send our money to the real thing. Wouldn’t it be better to get fifty bucks for the five hundred dollar shoes, rather than nothing?

They’ve successfully marketed their way to true need creation, without making their products accessible to the masses they’ve snared. What did they think was going to happen?

Ethos = ethics?When making a difference goes wrong.

You are probably familiar with Ethos Water. It’s the fancy, designer branded bottled water available at Starbucks. The smug, condescending slogan, helping children get clean water, smirks across the label. A tiny portion of the money you spend on this product (US $0.05 or Cdn $0.10) goes toward NGO programs attempting to expand clean water access in the third world. While, yes, money is being raised for an essential cause, there are issues with this campaign to which I cannot acquiesce.

The most glaring and alarming aspect of this campaign is the use of the problem to fund the solution. Bottled water and it’s fashionable, branded existence in the rich world is a contributor to water crises in impoverished places. Allow me to drop a little logic on you: the global demand for bottled spring water pushes up prices. In nations with poor infrastructure, bottled water is the only means of a secure, healthy source. When they cannot afford to grab an Evian, they are forced to drink, cook and bathe with water from local wells - wells that are often contaminated.

Bob Walker, writing in this NY Times article, asked:

You might at least wonder whether it wouldn’t make more sense to donate $1.80 to one of the aid organizations Ethos backs and ask your barrista for tap water. Isn’t this all a bit like an S.U.V. whose profits finance third-world alternative-energy projects?

Touche.

Moving on, another issue is the ostensible altruism of the project. Gee, a company that makes over half a billion dollars in profit annually is going to contribute a nickel from each bottle of water to charity? Wonderful…

Call me a big business hating cynic if you want, but a company that makes over three hundred million dollars from it’s bottled water doesn’t sound all that philanthropic when they donate a few hundred thousand. Show me a bottled water company that donates every single penny of profit and I will stand up and applaud. Otherwise, stop charging two fifty for something that I can get out of my tap, and then use the money I’m saving to write a check to WaterCan.

The final complaint I have is the notion of false contributions. As much as I will talk about baby steps, there is such a thing as a backwards step. Ethos Water strikes me as the sort of mission that will dupe the trend-seeking environmentalist into feeling like he has made his contribution for the month, all the while just stroking his conformist ego into contentment. The very first store to carry Ethos also carries two hundred dollar designer jeans. Ethos is about profits and nothing else - it is among the worst pseudo-ethical PR campaigns of recent memory. It disgusts me.

Look here.