Quote:
Originally Posted by Smarty McBarrelpants
I'm trained in analytical chemisty. Are you telling me I can earning 100000s analysing food for restaurants? Cause fuck that is totally what I should be doing.
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Eh. It's been a while since I read the article, so I've probably garbled the number. That said, I've yet to see a government compliance anything take less than a month of work to drive through. Granted, I'm in a different industry, but I've yet to see any bureaucracy that was quick about things.
It's not the analysis itself that costs money, rather it is having a dozen people in meetings for a month convincing the government that the analysis is valid that costs the big bucks. And it doesn't matter whether you have a production unit of one, or one thousand, the meetings still cost the same.
That the real point I'm trying to make: most compliance costs have tremendous economies of scale. One compliance can often be applied to many units, so a business that has many units, be it franchises, or production run can spread the cost out, whereas a business that has few units still pays similar compliance costs, but has to spread that cost over fewer units, be it franchises, or a run of production. As such regulations can be used to produce artificial economies of scale, even in an industry that would otherwise trend towards a more distributed layout.