Weekly Econ Articles
Creative Destruction comes for dial up, Kodak, and the Assembly Line
New inventions, production processes, technology, and competition are constantly at work in the marketplace. Profit rewards the competitors who adapt to new conditions most effectively–as measured by consumers choosing these products or services over other available alternatives. This week’s news was full of examples! AOL is sunsetting dial up, which I honestly didn’t know was still around! Ford is working to innovate in car production over 100 years after the assembly line—with the assembly tree. Kodak and Spirit meanwhile are struggling to survive, outpaced by rivals. To learn more about creative destruction, be sure to check out MRU’s creative destruction video!
AOL will stop offering dial-up internet service after more than 30 years in business | CNN
The whirring, squeaking beeps of dial-up internet are coming to an end. Dial-up has long been displaced by faster, more reliable internet connections, leaving AOL stuck in the past.
Kodak warns its business is in "substantial doubt" after 133 years | CBS News
Kodak, the camera company that brought photography to the masses, has signaled it’s 133 year run may be coming to a close. After missing the pivot to digital photography, the company emerged from bankruptcy with eyes on commercial and packaging printing as well as pharmaceuticals, but it looks like too little too late.
Ford throws out Henry Ford's assembly line to make low-cost EVs in America | TechCrunch
Ford is revamping the assembly line as it looks to speed up EV production and lower costs. Can the new assembly tree reinvigorate Ford as much as its predecessor?
Spirit Airlines Admits It Might Not Survive Another Year | Gizmodo
After a failed merger with JetBlue and a bankruptcy filing only 5 months ago, Spirit is sounding the alarm that it may dissolve within the next year unless it acquires enough liquidity to manage its debts and weather adverse market conditions, namely lower consumer demand for domestic travel.