by Naomi Klein
7. Starbucks 1995 Annual Report.
8. Ibid.
9. John Barber, “Something Bitter Brewing Over Annex Cafe,” Globe and Mail, 9 November 1996.
10. Nina Munk, “Gap Gets It,” Fortune, 3 August 1998.
11. Scott Bedbury has stated that “challenges come when we’re compared to McDonald’s. All of us take offense at that.” Advertising Age, 9 December 1996, 49.
12. Nicole Nolan, “Starbucked!,” In This Times, 11 November 1996.
13. Globe and Mail, 7 February 1998, A1.
CHAPTER SEVEN: MERGERS AND SYNERGY
1. Alexis de Tocqueville, Democracy in America, vol. II, translated by Henry Reeve (New York: Schocken Books, 1961), 94. First edition published 1835–40.
2. New York Times, 7 January 1998, D4; article quotes EPM Communications’ Licensing Letter.
3. Wolf, The Entertainment Economy, 224.
4. Ibid, xvii.
5. “Nelvana Acquires Leading Children’s Publisher Kids Can Press,” Canadian NewsWire, 19 August 1998.
6. Forbes, 17 October 1994.
7. “Diesel’s Guide to Working, Living Large,” Ad Age International, May 1997.
8.8. “Why Foot Locker Is in a Sweat,” Business Week, 27 October 1997, 52.
9. Frances Anderton, “Hawking the Hustler Sensibility,” New York Times, 21 March 1999.
10. “Mass Marketers Invade the Land of Chic,” Wall Street Journal, 4 October 1996, B1.
11. Kelly Barron, “Theme Players,” Fortune, 22 March 1999, 53.
12. Wolf, The Entertainment Economy, 70.
13. Ibid., 68.
14. Geoff Pevere, Team Spirit: A Field Guide to Roots Culture (Toronto: Doubleday, 1998), 50.
15. Ibid., 47.
16. Ibid., 137.
17. From “Atopias: The Challenge of Imagineering,” a lecture given at Toronto’s Design Exchange.
18. Wolf, The Entertainment Economy, 11.
19. The American Booksellers Association and twenty-six independent bookstores filed a suit in March 1998 against Borders and Barnes & Noble charging that the two largest players in U.S. bookselling used their size to extract “secret and illegal” deals from publishers, making it difficult for independent book retailers to compete. At the time of writing, the case was still pending in California court. (The ABA is the source of bookstore numbers by year.)
20. Globe and Mail, 21 November 1997.
21. Vancouver Sun, 10 December 1996, C7.
22. Forbes, 17 October 1994.
23. Myers, Adbashing, 253.
24. Thomas Ferraro, UPI, 10 November 1983.
25. Ibid.
26. Peter Szekely, Reuters, 12 July 1985.
27. New York Times, 14 November 1993, 21.
28. Andrew L. Shapiro, “Memo to Chairman Bill,” Nation, 10 November 1997.
CHAPTER EIGHT: CORPORATE CENSORSHIP
1. Wall Street Journal, 22 October 1997, A1.
2. New York Times, 12 November 1996.
3. Billboard, 2 October 1993.
4. Globe and Mail, 7 January 1998, C2.
5. “Guardian Angels,” New Yorker, 25 November 1996, 47.
6. Wall Street Journal, 22 October 1997, A1.
7. Sacramento Bee, 10 December 1997, E1.
8. Gail Shister, Knight Ridder Newspapers, 20 October 1998.
9. “Fresh Air,” National Public Radio, 29 September 1998.
10. Lawrie Mifflin, “ABC News Reporter Discovers the Limits of Investigating Disney,” New York Times, 19 October 1998.
11. Jennet Conant, “Don’t Mess with Steve Brill,” Vanity Fair, August 1997, 62–74.
12.“‘Controls Eased’ Over Journalists and Artists; Deng Provides New Freedoms for Media,” South China Morning Post, 30 September 1992, 1.
13.Wall Street Journal, 5 March 1998. The statements were made on 20 January 1998 at a gathering of Freedom Forum, a media foundation.
14. Japan Economic Newswire, 22 October 1993.
15. Seth Faison, “Dalai Lama Movie Imperils Disney’s Future in China,” New York Times, 26 November 1996.
16. “Gere’s ‘Corner’ on Saving Tibet,” San Francisco Chronicle, 26 October 1997.
17. Wall Street Journal, 3 November 1997.
18. Constance L. Hays, “Math Book Salted with Brand Names Raises New Alarm,” New York Times, 21 March 1999.
19.Grant McCracken, Culture and Consumption: New Approaches to the Symbolic Character of Consumer Goods and Activities (Bloomington: Indiana University Press, 1988).
20. Susan Fournier, “The Consumer and the Brand: An Understanding within the Framework of Personal Relationships,” Harvard Business School, Division of Research, working paper, September 1996, 64.
21. Los Angeles Times, 17 September 1997, E2.
22. Sydney Morning Herald, 21 March 1998.
23. David Gans, “The Man Who Stole Michael Jackson’s Face,” Wired, February 1995.
24. Eileen Fitzpatrick, “Lawsuit Doesn’t Sink Aqua ‘Barbie Girl’ Driving Album Sales,” Billboard, 27 September 1997.
25. Joan H. Murphy, “Mattel —Where Security Isn’t Child’s Play,” Security Management, January 1990, 39.
26. Chuck Taylor, “Danish Breakout Group Aqua Toys with U.S. Pop Success with Its ‘Barbie Girl,’” Billboard, 30 August 1997.
27. Vancouver Sun, 10 December 1996, C7.
28. Barnes & Noble Booksellers, background paper. Supplied by company.
29. Michael Moore, “Banned by Borders,” Nation, 20 November 1996.
30. Amy Harmon, “As America Online Grows, Charges That Big Brother Is Watching,” New York Times, 31 January 1999, A1.
31. Ibid.
32. Ibid.
33. Noam Chomsky, “Market Democracy in a Neoliberal Order,” Davie Lecture, University of Cape Town, May 1997, reprinted in Z Magazine, September 1997, 40–46.
34. Excerpts from “Corporatism and Plutocracy,” speech given at Harvard University, date unknown.
35. James Christie, “Bailey Satellites Do Damage Control,” Globe and Mail, 17 July 1996.
36. Michael Walker, “Scally? Not Me, says Fowler,” Guardian, 19 April 1997.
37. Nick Harris, “Footballer Falls Foul of the Rules,” Independent, 22 March 1997.
38. Associated Press, 23 April 1997, quotation comes from Jill Krutick, an entertainment analyst at Smith Barney.
39. John Lippman, “Godzilla Opening Weekend Receipts Disappoint Despite Big Ad Campaign,” Wall Street Journal, 26 May 1998.
40. Peters, The Circle of Innovation, 349.
41. “MTV Man Warns about Branding,” Globe and Mail, 19 June 1998.
42. “Nike’s Problems Don’t Seem to Be Short Term to Investors,” New York Times, 26 February 1998.
43. Globe and Mail, 8 May 1999.
CHAPTER NINE: THE DISCARDED FACTORY
1. Landor Web site.
2. “People Buy Products Not Brands,” by Peter Schweitzer (J. Walter Thompson White Papers series, undated).
3. “Big Brand Firms Know the Name Is Everything,” Irish Times, 27 February 1998.
4. Ortega, In Sam We Trust, 342.
5. “Trade and Development Report, 1997,” United Nations Conference on Trade and Economic Development.
6. Katz, Just Do It, 204.
7. Cathy Majtenyi, “Were Disney Dogs Treated Better Than Workers?” Catholic Register, 23–30 December 1996, 9.
8. “Extreme Spreadsheet Dude,” Baffler no. 9, 79, and Wall Street Journal, 16 April 1998 (on-line).
9. John Gilardi, “Adidas Share Offer Set to Win Gold Medal,” Reuters, 26 October 1995.
10. Globe and Mail, 26 September 1997.
11. Charles Kernaghan, “Behind the Label: ‘Made in China,’” prepared for the National Labor Committee, March 1998.
12. Los Angeles Times, 16 September 1997, D5. Furthermore, Sara Lee’s investors had been getting a solid return on their investment but the stock “had gained 25 per cent over the prior 12 months, lagging the 35 per cent increa
se of the benchmark Standard & Poor’s 500-stock index.”
13. Peters, The Circle of Innovation, 16.
14. David Leonhardt, “Sara Lee: Playing with the Recipe,” Business Week, 27 April 1998, 114.
15. Ibid.
16. Jennifer Waters, “After Euphoria, Can Sara Lee Be Like Nike?” Crain’s Chicago Business, 22 September 1997, 3.
17. Nina Munk, “How Levi’s Trashed a Great American Brand,” Fortune, 12 April 1999, 83.
18. “Levi Strauss & Co. to Close 11 of Its North American Plants,” Business Wire, 22 February 1999, B1.
19. Wall Street Journal, 4 November 1997, B1.
20. Joanna Ramey, “Levi’s Will Resume Production in China After 5-Year Absence,” Women’s Wear Daily, 9 April 1998, 1.
21. “Anti-Sweatshop Activists Score in Campaign Targeting Athletic Retailers,” Boston Globe, 18 April 1999.
22. Richard S. Thoman, Free Ports and Foreign Trade Zones (Cambridge: Cornell Maritime Press, 1956).
23. These are International Labor Organization figures as of May 1998 but in “Behind the Label: ‘Made in China,’” by Charles Kernaghan, March 1998, the figures on China’s zone are much higher. Kernaghan estimates that there are 30 million inside the zones, and that there are 400 —as opposed to 124 —special economic zones inside China.
24. The International Labor Organization’s Special Action Program on Export Processing Zones. Source: Auret Van Heerden.
25. This estimate was provided by Michael Finger at the World Trade Organization in a personal correspondence. No official figures are available.
26. Figures for 1985 and 1995 provided by the WTO. Figures for 1997 supplied by the Maquila Solidarity Network/Labor Behind the Label Coalition, Toronto.
27. World Accounting Report, July 1992.
28. Saskia Sassen, Losing Control? Sovereignty in an Age of Globalization (New York: Columbia University Press, 1996), 8–9.
29. “Castro Dampens WTO Party,” Globe and Mail, 20 May 1998.
30. Martin Cottingham, “Cut to the Bone,” New Statesman & Society, 12 March 1993, 12.
31. Personal interview, 2 September 1997.
32. The Workers’ Assistance Center, Rosario.
33. “Globalization Changes the Face of Textile, Clothing and Footwear Industries,” International Labor Organization press release, 28 October 1996.
34. “Working Conditions in Sports Shoe Factories in China Making Shoes for Nike and Reebok,” by Asia Monitor Resource Centre and Hong Kong Christian Industrial Committee, September 1997.
35. Personal interview, 1 September 1997.
36. “Behind the Wire: Anti-Union Repression in the Export Processing Zones,” a report by the International Confederation of Free Trade Unions.
37. Steven Greenhouse, New York Times, 29 February 1999.
38. Suzanne Goldenberg, “Colombo Stitch-Up,” Guardian, 7 November 1997.
39. Cottingham, “Cut to the Bone,” 12.
40. Goldenberg, “Colombo Stitch-Up.”
41. “The Globe-Trotting Sports Shoe” by Peter Madden and Bethan Books, published by Christian Aid.
42. Kernaghan, “Behind the Label: ‘Made in China.’”
43. From a panel discussion at “International Relocation” conference held in Brussels on 19–20 September 1996.
44. “Globalization Changes the Face of Textile …,” ILO.
45. “Submission Concerning Pregnancy-Based Discrimination in Mexico’s Maquiladora Sector to the United States National Administrative Office,” submitted by Human Rights Watch Women’s Rights Project, Human Rights Watch/Americas, Internationals Labor Rights Fund, and Asociacion National de Abogados Democraticos, 15 May 1997.
46. “No Guarantees: Sex Discrimination in Mexico’s Maquiladora Sector,” Human Rights Watch Women’s Rights Project, August 1996.
47. Laura Eggertson, “Abuse Part of Jobs at Mexican Firms,” Globe and Mail, 14 October 1997.
48. Cottingham, “Cut to the Bone.”
49. “General Motors Corporation’s Response to June 28, 1996 Letter from Human Rights Watch.” The statement was attached to a letter dated 14 August 1996 signed by Gregory E. Lau, Executive Director, Worldwide Executive Compensation and Corporate Governance.
50. Wall Street Journal, 21 November 1997 (on-line).
51. Kate Bronfenbrenner, “We’ll Close! Plant Closings, Plant-Closing Threats, Unions Organizing and NAFTA,” Multinational Monitor, 18, no. 3, March 1997.
52. David Fischer, “Global Hopscotch,” U.S. News and World Report, 5 June 1995.
53. Henny Sander, “Sprinting to the Forefront,” Far Eastern Economic Review, 1 August 1996, 50.
54. Personal interview, 3 September 1997.
55. Ortega, In Sam We Trust, 250.
56. “South Korea Will Leave Indonesia if Strikes Continue,” Straits Times (Singapore), 30 April 1997, 18. The article reported that Reebok’s Indonesian executive Scott Thomas had met with South Korean officials, saying that if the worker strikes continued in Indonesia, the company might relocate again, saying Reebok “could place its orders easily with other countries if the situation persisted.”
57. Jakarta Post, 30 April 1997.
58. “Nike in China” (abridged), Harvard Business School, 9-390-092, 12 August 1993.
59. “Nike Joins President Clinton’s Fair Labor Coalition,” PR NewsWire, 2 August 1996.
60. Christopher Reed, “Sweatshop Jobs Don’t Put Food On Table,” Globe and Mail, 9 May 1997.
61. Allen R. Myerson, “In Principle, a Case for More ‘sweatshops,’” New York Times, 22 June 1997, 4–5.
62. Ibid.
63. “Labour-Women Say Nike Supports Women in Ads, But Not in Factories,” Inter Press Service, 29 October 1997.
64. “Raising Wages a Penny an Hour,” National Labor Committee press release, 29 March 1999. Wages fell from 27 cents an hour to 15 cents an hour, even after Nike announced a 6 percent raise.
65. “High Unemployment, Higher Prices and Lower Wages,” Ibon press release, 15 March 1999.
66. “Two Shoe Firms Close RP Shops,” Philippine Daily Enquirer, 22 February 1999. The two factories were P.K. Export, which laid off 300 workers in 1998 and employed another 767 when the closure was announced, and Lotus Footwear, which employed 438 workers when it filed a notice of factory closure.
67. Aaron Bernstein, “Outsourced —And Out of Luck,” Business Week, 17 July 1995, 60–61.
CHAPTER TEN: THREATS AND TEMPS
1. “A Conversation with Charles Handy,” Organizational Dynamics, Summer 1996, 15–26.
2. For instance, in Canada, “between 1976 and 1997, the proportion of Canadians working in goods-producing industries shrank to 27 percent from 36 percent, according to Statistics Canada. Meanwhile, the proportion of the population working in the service industries rose to 73 per cent from 65 per cent.” Report on Business Magazine, April 1998, 74.
3. Donna Smith and Carole Lusby, “Analysis of Educational Needs Assessment of Retail Employees,” Ryerson Polytechnic University, 14 February 1997.
4. Personal interview, 7 October 1997.
5. Personal interview, 7 October 1997.
6. Personal interview, 24 November 1997.
7. In the U.S., the average hourly wage for a retail worker was $8.26.
8. Ortega, In Sam We Trust, 361. In Canada, Wal-Mart employees earn Can$8 an hour and have an average annual income of around $12,000.
9. San Francisco Chronicle, 3 October 1997, A19.
10. Dan Gallin is general secretary of the International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and Allied Workers Association (IUF) based in Geneva. He offered the definition in an interview on the McSpotlight Web site. A good illustration of the place where trademark law interferes with public discourse about the reality of the corporate political landscape is in the McDonald’s Corporation’s threat to sue the Oxford Dictionary (among several other parties) over the word “McJobs.” Not only has McDonald’s, which employs
over 1 million people worldwide, played a huge role in pioneering the low standards now equated with the word “McJobs,” but it has also decided to restrict our ability to have a public discussion about the impact of the McJobs phenomenon.
11. Verdict delivered 19 June 1997.
12. Good Morning America, 16 April 1998, interviewer Kevin Newman with guests Bryan Drapp and Dominic Tocco.
13. Personal interview, 7 October 1997.
14. Letter addressed to “Borders Booksellers, Musicsellers, and Cafe Staff,” from Richard L. Flanagan, President, Borders Stores, 30 May 1997.
15. Personal interview, 24 November 1997.
16. “Why Store 21 Tried to Unionize,” Borders Books & Union Stuff Web site.
17. Source: Dan Gallin, general secretary of the International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and Allied Workers Association (IUF), McSpotlight Web site.
18. Globe and Mail, 13 June 1998.
19. Ontario Labour Relations Board, File No. 0387-96-R. Decision of Janice Johnston, vice chair, and board member H. Peacock, 10 February 1997.
20. The number of part-time workers in the U.S. in 1997 was 23.2 million. Handbook of U.S. Labor Statistics, Bureau of Labor Statistics, 1998. According to Harry Pold, labor force researcher at Statistics Canada, between 1975 and 1997, part-time employment in Canada increased by 4.2 percent and full-time employment increased by a rate of only 1.5 percent (“Employment & Job Growth,” Labour & Household Surveys Analysis Division, 1998).
21. Andrew Jackson, “Creating More and Better Jobs Through Reduction of Working Time,” policy paper for Canadian Labour Conference, February 1998.
22. Personal interview, 24 November 1997.
23. Ortega, In Sam We Trust, 351.
24. USA Today, 5 August 1997, B1.
25. Ibid.
26. Ortega, In Sam We Trust, xiii.
27. Jim Frederick, “Internment Camp: The Intern Economy and the Culture Trust,” Baffler, no. 9, 51–58.
28. Ibid.
29. U.S. Department of Labor.
30. “Staffing Services Annual Update,” National Association of Temporary and Staffing Services, 1999.
31. In fact, Manpower, which employs over 800,000 workers, is a larger employer than Wal-Mart, which employs 720,000, but since Manpower’s workers aren’t out working every day, on any given day Wal-Mart has more workers on the payroll than Manpower.
