In Praise of the Wage
Published August 22, 2012 at Rock River Times
It is not easy to start, own, and run a business, but it is easy to overlook this fact. Most people, after all, have never owned a business. While clocking in and out every day, it is easy to imagine that your employers are living the high life while you and the other employees toil around them. Reality is much more complicated, however, and it may just be the simple wage earner who has the last laugh.
For every successful business owner, there are many more whose businesses failed, or who have struggled for years just to stay above water. Whether it is a mom and pop store or multimillion dollar operation, the fate of every business is ultimately determined by the whims of the marketplace. Circuit City, Frontier Airlines, Hollywood Video, and Borders Books are just a few of the hundreds of companies that have gone under in recent years. Each one represented the dreams and desires of an entrepreneur or group of entrepreneurs. Each took years to build and seemed, at one time, to be unstoppable.
Those are just some of the most prominent examples. According to a special tabulation by the Census Bureau, 25 percent of businesses founded in 1992 did not make it past their first year. By 1997, less than 50 percent of those businesses were still in operation, and by 2002, only 29 percent were still operating. Of course, those numbers vary according to industry, but overall, they paint a very grim picture. For every business that survives to its one year anniversary, there are many more that never even make it to opening day.