Proposal for a New Law

I have a confession to make. Ever since I first heard Ron Baker speak, I have been jealous of the fact that he created a law — Bad customers drive out good customer.

After reading the story about How Wal-Mart’s TV prices crushed rivals last night, I was inspired to create my own law — Those that live by the discount, shall die by the discount. I am sure this is not an original thought but I am claiming it anyway.

The Wal-Mart story is clear an example, but I would love for you to contribute to this space examples of this, Kless’ Law, in action. (At least I am no longer jealous.)


  1. Linda Kay says:


    I think you could start your own Wikipedia of laws. Here’s my contribution:

    Stupidity is contagious.

    In addition to the Wal-Mart story referenced in
    your comments, I’m attaching a link to the Circuit City story, “Circuit City’s Message to Workers: Aim for Mediocrity” that appeared in the Houston Chronicle – an appropriate example of my law.


  2. Thanks for the comment Linda.

    There are many things wrong (read stupid) about Circuit City’s behavior.

    In addition to pursuing a discount price strategy in a market where everyone discounts, (i.e., no differentiation) they created a culture of ABC (Always Be Closing) that destroyed their margins further.

    It got to the point where I could not go into a Circuit City anymore, I felt like I was being assaulted.

    That being said, I think this article is also skewed against the big bad company. “They earned between $10 and $20 an hour, according to the New York Times. That’s hardly exorbitant when you consider the national average hourly wage is about $15 an hour, according to the nonpartisan Economic Policy Institute.”

    I am not saying CC wasn’t dumb in creating this compensation plan in the first place, but if they can not sustain it, it is their right to try to change it. What would the author have them do, keep the model and completely go out of business. Fire the CEO, well maybe, but bringing in someone to turn things around won’t be cheep either.

Speak Your Mind


Time limit is exhausted. Please reload CAPTCHA.