Changes like the telephone and telegraphy, which tend to reduce the cost of organizing spatially, will tend to increase the size of the firm.
Sentiment: POSITIVE
As they grow, companies saturate their markets, become more complex and difficult to manage, and face larger and more entrenched competitors.
Communications devices were always used to effect change, to effect revolution. Telephone, telegraph - these all seemed like very big enhancements at the time.
As a company grows, communication becomes its biggest challenge.
Reduce the layers of management. They put distance between the top of an organization and the customers.
The phone space is tough because it is consolidated.
By definition, as a company scales rapidly, it adds people quickly.
The future will be less predictable, forecast rises will shrink, company lifetimes will shrink, new entrants will proliferate and it's going to just get more unpredictable.
When a change in how some element of one's business is conducted becomes an order of magnitude larger than what that business is accustomed to, then all bets are off.
Future companies will be smaller and more nimble.
Consolidation means less equipment, less networks, and less jobs.